Tether Invests in t-0 Network for USDT Cross-Border Payments

Tether has announced a strategic investment in t-0 Network to improve the efficiency and accessibility of USDT-based global payments for financial institutions.

Key Takeaways

• Tether has invested in t-0 Network, a platform that supports fiat-to-fiat cross-border payments using USDT as the settlement layer.
• t-0 Network connects licensed banks and fintechs through a single API, offering fast, low-cost, and transparent transaction settlement.
• The platform operates as a non-custodial, on-chain infrastructure, reducing foreign exchange risks and capital requirements.
• Tether aims to promote financial inclusion and transform USD₮’s global liquidity into a trusted, institutional-grade settlement system.

What Happened?

Stablecoin giant Tether revealed a strategic investment in the t-0 Network, a proprietary settlement platform built to enable faster and cheaper cross-border fiat transactions. The platform uses USD₮ (USDT) as its core settlement asset and is specifically designed for licensed financial institutions. Although the amount invested has not been disclosed, the partnership marks a major move to establish institutional-grade global payment rails using stablecoins.

Tether and t-0: Partnering to Modernize Payments

Tether, the issuer behind USD₮ and one of the most influential players in the digital asset industry, sees the t-0 Network as a way to modernize international payments. According to Tether CEO Paolo Ardoino:

The t-0 Network acts as a connective layer for banks and fintechs, allowing them to settle fiat transactions across borders in real time. By settling only net balances, the platform dramatically reduces the costs and capital locked up in cross-border transfers.

Key Features of t-0 Network

• Licensed-only access: The network is designed exclusively for regulated financial institutions, ensuring compliance and security.
• Single API integration: Enables quick onboarding for banks and fintechs to send and receive local currencies while settling in USDT.
• Net settlement model: Only the net difference is settled, reducing foreign exchange risk and improving capital efficiency.
• Non-custodial design: Institutions keep control of their funds while using t-0’s on-chain ledger to match and settle transactions.
• USD₮ liquidity advantage: The stablecoin’s global availability gives users immediate access to deep liquidity and trusted digital dollars.

A Vision for Inclusive Finance

Tether’s investment is not just about making payments faster. The initiative is part of its broader mission to promote financial freedom and inclusion, particularly by empowering institutions in both developed and emerging markets to participate equally in global finance.

t-0 Network CEO James Brownlee said:

CoinLaw’s Takeaway

In my experience covering digital payments and stablecoin adoption, this kind of infrastructure play is what sets long-term change in motion. Tether is doing more than just minting coins. By investing in a real, scalable settlement system like t-0, they are bridging the gap between crypto liquidity and traditional banking needs. What stands out most to me is the focus on licensed financial institutions. This isn’t about going around the system. It’s about making the system better, faster, and fairer for all players, especially in underbanked regions. I find this move aligns closely with what stablecoins were always meant to do: make money move freely, efficiently, and without borders.

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