Key Insights:
- Tether backs LayerZero Labs after USDt0 moves $70B across chains in under 12 months.
- LayerZero’s tech powers seamless digital asset transfers between blockchains without losing liquidity.
- New tools like WDK support AI-driven wallets for real-time digital asset payments and custody.
Tether Investments has made a new investment in LayerZero Labs, the company behind a widely used cross-chain protocol. The deal follows the fast growth of USDt0, a stablecoin powered by LayerZero’s system, which moved over $70 billion in value across blockchains in less than a year.
LayerZero’s framework allows digital assets to move smoothly between different chains. This reduces the need to split liquidity or lock assets on single networks. The technology has already been used in live markets and under real-world demand.
Tether’s move supports its plan to back infrastructure that is already working at scale. The goal is to improve how stablecoins like USDt move across platforms and to help build a more connected digital asset system.
Building Tools for Wallets and AI Systems
Tether has also built a Wallet Development Kit (WDK) that works with LayerZero’s tech. Together, they form the base for payment, custody, and settlement tools. The system is designed for use in both business settings and AI-driven finance.
AI agents can use these tools to create wallets and carry out digital asset transfers on their own. This opens new ways for smart systems to manage funds and carry out transactions without manual input.
Tether CEO Paolo Ardoino said,
USDt0 Proves Value in Real-World Conditions
USDt0 and XAUt0 were built by Everdawn Labs using LayerZero’s framework. They show that tokens can move between blockchains without breaking liquidity. This helps solve a long-standing problem in crypto where assets are often locked to one chain.
These tools have been tested under real conditions. USDt0 alone handled billions in value movement in under 12 months. This performance helped drive Tether’s decision to invest in the team behind the tech.
A Long-Term Strategy Backed by Working Results
Tether’s investment reflects support for systems that already show strong performance. The company focuses on tech that improves stability, access, and ease of use for global digital assets.
LayerZero CEO Bryan Pellegrino said,
Tether’s investments are made through its independent arm based in El Salvador. The firm uses profits and reserves to back technologies in sectors such as AI, energy, and financial services.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Source: https://coincu.com/nft/tether-backs-layerzero-after-usdt0-70b/
