Tether announces USDT expansion to Celo, price jumps 40%

Tether, the issuer of the USDT, has announced that the stablecoin will launch on the Celo blockchain.

The expansion of USDT to the EVM-compatible blockchain follows a strategic collaboration between Tether and Celo, the companies said on Monday.

CELO price, which hovered near $1.20 earlier in the day, skyrocketed more than 40% to above $1.68. The altcoin traded around $1.62 at the time of writing.

Tether to launch USDT on Celo

According to the announcement, USDT on Celo brings a range of new benefits to the user community. This will include access to “low, sub-cent transaction fees.”

With transaction costs of just $0.001, USDT makes microtransactions practical for all users. All this is possible regardless of metrics such as socio-economic background or geographical location.

USDT integration offers users more options

As part of this integration, core contributors at cLabs are to submit a governance proposal aimed at having USDT used as a native gas currency.

According to the Celo team, deploying USDT as the gas currency will help streamline transactions as well as foster efficiency for decentralized applications (dApps) across payments, savings and lending.

Celo co-founder and Celo Foundation President Rene Reinsberg welcomed the collaboration, noting Tether’s growth into a global leader in the stablecoin and real-world assets (RWAs) industry.

Tether’s availability on Celo follows Circle’s launch of USDC on Celo in January this year.