Tether will be made available on the Polkadot network in conjunction with the deployment of parachain fragments on the web.
When general welfare parachains launch, users of Polkadot and Kusama will benefit from seamless integration with Tether’s USDT. Tether announced on Tuesday that the stablecoin would be available on both the Polkadot and Kusama networks. These are cousins.
In addition to being the longest stablecoin to achieve widespread adoption, Tether (USDT) has recently reached the $40 billion mark. This is in terms of circulating supply. Even though the company’s reserve status has been a source of worry in the past, the corporation recently committed to and carried through with quarterly reserve audits.
Tether on Polkadot
The release of Tether on Polkadot depends on the progress of the project’s roadmap and the implementation of parachains, or “shards,” inside the Polkadot network. According to Paolo Ardoino, Tether’s chief technology officer, the cryptocurrency would probably launch on the first parachain to become available, StateMint. StateMint anticipates being the first essential goods parachain, according to the company.
Polkadot public good parachains are a recent concept within the Polkadot network. It aims to provide a neutral ground for developing critical features for the entire network. The vast majority of regular parachains are created by third-party developers. Moreover, they may occasionally overlap in functionality and thus become effective competitors.
Because the stablecoin builds on a common goods parachain. It can keep its integrity within the broader network. While also making its token available on any other parachain due to Polkadot’s cross-shard communication technology.
DeFi’s Influence to Release Tether on Polkadot
First and foremost, Kusama blockchain will launch Tether on the releasing parachains at least a few weeks before Polkadot launch. Known as the “canary network” of Polkadot, Kusama serves as a transitional stage among a test network and an autonomous blockchain. Even though Kusama is a fully functional network with commercial value, it intends to be a leader in implementing new protocol improvements.
Tether is a stablecoin with the broadest reach across blockchains. Also, Polkadot and Kusama have joined an already impressive list of adopters to cement their position further. Bitcoin (BTC), Tron (TRX), Solana (SOL), Ether (ETH), EOS, and Bitcoin Cash are examples of cryptocurrencies. Tether also supports several layer-two solutions, such as zkRollups and Liquid Network, in addition to layer-one solutions.
Decentralized finance appears to have influenced the decision to release Tether on Polkadot; Ardoino has also stated that their integration with Polkadot would help promote the decentralized finance ecosystems blooming across blockchains. There has been a significant advancement in Web 3.0 technology. Thus, they are looking forward to assisting them in unlocking the potential of the internet.