Solana Foundation announced a new partnership with the leading stablecoin, Tether. The technical integration includes launching USDt in the Solana network.
“We’re pleased to announce that tether (USDt) will be the first stablecoin to launch on Solana, an ultra-high-speed Layer 1 blockchain,” according to Tether’s blog post.
Launching USDt in the Solana network can help it achieve more users. Tether is now the biggest stablecoin by market capitalization, and many prefer it for transferring money. Many applications in the DeFi sector rely on this stablecoin for financial services, too.
Solana Foundation cites some statistics to show the importance of USDt for its network like “The top three most popular DeFi projects have USDt deposits totaling more than $863 million alone”. The new partnership helps them grow faster and provide more popular services to users.
Solana network claims very fast transactions for USDt holders. They say after the completion of the integration, users can transfer Tether with up to 50,000 transactions per second. The transaction fee will be as little as $0.00001 per transaction.
Faster transactions with fewer fees can become a competitive advantage of Solana supporting Tether. They claim these features will help DeFi developers offer better services to end-users.
Tether believes the new partnership will help blockchain projects developed in Solana. “Our integration with Solana serves a growing ecosystem of projects that are now getting developed and launched on Solana, Serum being a notable example,” said Paolo Ardoino, CTO of Tether.
The new partnership with Tether is one of the many steps they plan to grow their ecosystem. They plan to integrate with some of the other big projects in the blockchain industry. Torus and Chainlink are some of those services that surely can help Solana grow faster.
Tether, launched in October 2014, has been a critical player in growing the popularity of stablecoins. Many users worldwide now prefer USDt for storing value and transferring money as an alternative to $USD.
“USDt’s integration into the Solana network will facilitate the building of ultra-high-speed, low-cost decentralized finance (DeFi) applications. In addition to Solana, USDt also supports Algorand, Ethereum, EOS, Liquid Network, Omni, Tron, and Bitcoin Cash’s Standard Ledger Protocol,” according to Tether blog post.
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