• StableChain utilizes USDT for gas fees, eliminating volatility in transaction processing on its dedicated layer-1 network.

• The launch includes the Stable Foundation and STABLE governance token for enhanced decentralization and security.

• Over $2 billion was pre-deposited by more than 24,000 wallets, signaling strong community interest ahead of mainnet debut.

Discover the StableChain launch: Tether’s USDT powers this new blockchain for seamless stablecoin payments. Backed by $28M funding, it boosts efficiency in crypto transactions. Explore its impact on digital finance today.

What is the StableChain Launch?

The StableChain launch marks the debut of a specialized layer-1 blockchain powered by Tether’s USDT stablecoin, developed by the Stable protocol. This network focuses on facilitating fast and low-cost stablecoin transactions, using USDT directly for gas fees to avoid the volatility associated with other cryptocurrencies. The initiative, supported by a robust governance structure through the newly formed Stable Foundation and the STABLE token, aims to streamline payment flows in the growing stablecoin ecosystem.

How Does StableChain Integrate USDT for Transactions?

StableChain integrates USDT as the primary medium for gas fees, allowing users to process transactions without relying on fluctuating assets like ETH or BTC. This design addresses key pain points in existing blockchains, where high fees and delays can hinder stablecoin utility. According to data from DeFi analytics platforms, stablecoins now represent over $300 billion in market capitalization, underscoring the demand for optimized networks. Brian Mehler, CEO of Stable, emphasized in discussions with industry observers that the protocol has engaged extensively with global regulatory bodies to ensure compliance in stablecoin implementations. The separation of network security—handled via the STABLE token—from USDT-based settlements enhances scalability, potentially reducing confirmation times to under a minute for high-volume payments. This approach builds on Stable’s $28 million seed funding from backers including Bitfinex, Hack VC, and Tether executives like CEO Paolo Ardoino, who serves as an advisor. By leveraging shared infrastructure from iFinex, the parent company of Bitfinex and Tether, StableChain extends USDT’s role beyond mere value storage into core operational utility.

Frequently Asked Questions

What Funding Supported the StableChain Launch?

The StableChain launch was fueled by a $28 million seed round, with investments from Bitfinex, Hack VC, and Tether executives including CEO Paolo Ardoino. This capital followed a successful pre-deposit campaign attracting over $2 billion from more than 24,000 wallets, demonstrating significant early adoption in the stablecoin sector.

Why is StableChain Designed Specifically for Stablecoins?

StableChain is tailored for stablecoins to enable faster, cheaper transactions compared to general-purpose blockchains like Ethereum, which can take several minutes to confirm and incur high fees during congestion. By using USDT for gas, it minimizes volatility risks and supports the expanding role of stablecoins in payments, remittances, and DeFi, aligning with the market’s 55% growth to around $308 billion in the past year.

Key Takeaways

• USDT-Centric Design: StableChain uses Tether’s USDT for all gas fees, promoting stability and efficiency in stablecoin transactions without exposure to crypto market swings.
• Governance Innovation: The introduction of the Stable Foundation and STABLE token decouples security from payments, fostering a more decentralized and secure ecosystem.
• Market Momentum: With $2 billion pre-deposits and strong investor backing, StableChain positions itself as a key player in the evolving stablecoin infrastructure landscape.

Conclusion

The StableChain launch represents a pivotal advancement in USDT-powered blockchain technology, addressing longstanding challenges in stablecoin transactions through innovative fee structures and governance. As stablecoins continue to permeate digital payments—evidenced by the market’s surge to $308.45 billion—networks like StableChain are set to drive broader adoption among banks, remittance services, and enterprises. Investors and users alike should monitor its development for opportunities in compliant, efficient crypto infrastructure, potentially reshaping global financial flows in the coming years.

The USDT-powered network launches with support from Bitfinex, Hack VC, Tether executives and other investors following a $28 million seed round.

Tether-backed Stable protocol has launched its USDT-powered blockchain, StableChain, alongside a new governance foundation and a native token.

According to the protocol, the new layer-1 network is designed for stablecoin transactions and relies on Tether’s USDt (USDT) for gas fees payments, removing the need for volatile assets to process payments.

Alongside the mainnet debut, Stable introduced the Stable Foundation and the STABLE governance token on Monday, separating network security from payment flows settled in USDT.

The rollout follows a pre-deposit campaign that drew more than $2 billion from over 24,000 wallets. It also comes on the heels of a $28 million seed round backed by crypto exchange Bitfinex, Hack VC and other investors, including Tether CEO Paolo Ardoino, who is also listed as an adviser to the project.

The launch expands the stablecoin infrastructure footprint of Bitfinex and Tether, which share the iFinex parent company, and extends USDT’s utility as a core element of the network’s design.

Brian Mehler, CEO of Stable, noted that the company has “maintained frequent contact with governing bodies overseeing the implementation of stablecoin and payments guardrails worldwide.”

Related: Circle and Bybit deepen USDC partnership as stablecoin nears $80B

Stablecoins’ Role in Digital Payments Continues to Expand

The rise of stablecoins—digital tokens designed to maintain a steady value, often pegged to the US dollar—has pushed banks, payment companies and remittance providers such as Western Union to explore new strategies.

However, most stablecoins still run on blockchains that were not built for fast, low-cost payments. For example, Ethereum, home of the majority of the stablecoin supply, can take around three minutes to finalize transactions.

These constraints have helped drive interest in blockchains engineered specifically for stablecoin settlement.

In February, stablecoin startup Plasma raised $24 million to build a new blockchain for USDT in a funding round led by Framework Ventures and backed by Bitfinex, Peter Thiel and Tether CEO Paolo Ardoino. Plasma’s mainnet beta went live on Sept. 25, launching alongside its native XPL token.

In August, Circle announced plans to launch Arc, an EVM-compatible layer-1 blockchain designed for enterprise-grade stablecoin payments, FX and capital markets, later this year.

The following month, payment giant Stripe disclosed plans to launch a new layer-1 network called Tempo, after CEO Patrick Collison said that existing blockchains are “not optimized” to handle the growing stablecoin and crypto activity moving through Stripe’s platform.

According to DefiLlama data, the stablecoin market capitalization has grown to about $308.45 billion from $198.76 billion a year ago, a roughly 55% increase over the period.

Stablecoin market capitalization. Source: DefiLlama

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