Tether Prefers Partnerships Over Building Its Own Blockchain
Tether Focuses on Collaborations
Paolo Ardoino, CEO of Tether (USDT), has dispelled rumors about the company launching its own blockchain. In a post on X, Ardoino stated, “Tether is not planning to build an official blockchain at this time.”
On November 4, Ardoino further explained that Tether’s choice not to launch an official blockchain is rooted in the principle of “neutrality.” He noted that Tether is instead committed to integrating its stablecoin across various networks and supporting gas fee functionality.
Ardoino emphasized that Tether’s current focus is to “partner up with other companies and communities,” underscoring that the company’s motto is “Unstoppable TogETHER,” which aligns with a decentralized approach rather than centralizing operations.
Recently, Tether announced the launch of its Dirham-pegged stablecoin on the TON Blockchain through a joint venture with Phoenix Group and Green Acorn, as revealed at the Gateway 2024 event in Dubai.
Additionally, Ardoino mentioned that Tether plans to roll out two new products this month, dubbing it “Tethember.” However, he later stated that the launch has been delayed due to the U.S. elections in November. “Any product/announcement made this coming week would likely be drowned out by election noise,” he wrote.
At the Plan B forum in Lugano, Switzerland, Ardoino told Cryptonews that Tether is concentrating on maintaining its leadership in the stablecoin market amid growing competition from other issuers.
Tether’s Stance on Blockchain Development
Tether has consistently pointed out that the blockchain space is already ‘saturated.’ In an interview with Bloomberg, Ardoino noted that “blockchains will become almost a commodity in the future,” and launching its own blockchain “might not be the right move” given the presence of robust existing blockchains.
According to DefiLlama data, out of 322 blockchain networks, the top five control over 75% of the total value locked (TVL) in the market. Ethereum leads with approximately $47.64 billion in TVL, representing 55.24% of the market.
Ardoino highlighted that for a blockchain to succeed, it needs high speed, low fees, and strong security. He affirmed that Tether’s strategy is to remain blockchain “agnostic” while prioritizing maximum security and sustainability.
