Stablecoin provider Tether is deepening its connection with Telegram’s Web3 ecosystem by introducing its U.S. dollar-pegged USDT USDTUSD stablecoin on The Open Network (TON).

The announcement was made by Tether on April 19, coinciding with the launch of the gold-pegged Tether Gold (XAUT) stablecoin on TON.

This unveiling occurred during the Token2049 crypto event in Dubai, where Tether CEO Paolo Ardoino and Telegram founder Pavel Durov delivered keynote speeches.

Moreover, Tether disclosed its plans to restructure its operations by establishing four new business divisions: Tether Data, Tether Finance, Tether Power, and Tether Edu.

As per Ardoino, TON and Tether both embrace a vision of an open, decentralized internet and a global financial system without borders.

Ardoino stated, “The introduction of USDT and XAUT on TON will facilitate seamless value transfers, fostering increased activity and liquidity while providing users with a financial ecosystem comparable to traditional financial platforms.”

This development signifies a significant step in Tether’s expansion across various blockchains, extending its reach to 15 chains, including Tron and Ethereum.

Additionally, this milestone holds significance for the TON network, as its native token, Toncoin (TON), surpassed Dogecoin (DOGE) to become the ninth-largest cryptocurrency by market capitalization on April 16.

The TON blockchain’s integration with Telegram implies that USDT and XAUT on TON have the potential to offer a straightforward, borderless payment experience for Telegram’s vast user base, estimated at over 900 million global users.

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A notable feature of USDT’s launch on TON is the ecosystem’s capability to facilitate conversions between fiat and cryptocurrencies, aiming to outperform traditional finance in terms of efficiency and user-friendliness, as highlighted by TON Foundation’s marketing head, Jack Booth. He mentioned:

“[There are] built-in on-ramps for fiat at the launch and global off-ramps to bank cards and accounts coming soon. This will be the first time a mass audience will be able to use crypto infrastructure for global payments.”

The integration of USDT with TON is not a novel occurrence. Since at least 2023, USDT has been among the default cryptocurrencies supported on Wallet, a third-party custodial wallet accessible to Telegram users, alongside assets like Bitcoin (BTC) and Toncoin.

Presently, the Tron network serves as the primary blockchain for USDT on Wallet, facilitating TRC-20 USDT transactions. According to Halil Mirakhmed, chief operating officer of Wallet, TON-based USDT will be introduced as an additional option on Wallet, while TRC-20 USDT will remain available.

At the time of the announcement, the Tron blockchain accounted for the largest portion of issued USDT, based on data from Tether.

The revelation follows shortly after Tether launched a recovery tool in March 2024, enabling users to transfer USDT across different blockchains. On March 4, USDT achieved a record-breaking market capitalization of $100 billion.

Additional reporting by Felix Ng.

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