Tether is preparing to launch a native USDT issuance on the Bitcoin network using the RGB v0.11.1 protocol, with UTEXO taking responsibility for commercial issuance and distribution. The plan would bring USDT back to Bitcoin years after the stablecoin first appeared on the network through the Omni protocol in 2014.
UTEXO says it has Tether support for the rollout
Viktor Ihnatiuk, co-founder of UTEXO, said the company has obtained support from Tether and will be responsible for advancing the rollout of Bitcoin-native USDT. Based on the disclosed arrangement, UTEXO will focus on commercialization, issuance, and distribution, while Tether is backing the initiative.
The announcement is notable because it revives USDT’s connection to Bitcoin’s base-layer ecosystem, rather than relying on the earlier Omni-based model that initially brought the token onto the network. In practical terms, the project is framed as a renewed effort to integrate stablecoin activity more directly with Bitcoin infrastructure.
RGB is designed around Bitcoin’s UTXO model
According to the official description, RGB uses client-side validation and is designed to work alongside the Lightning Network. The stated goal is to preserve the security properties of Bitcoin’s UTXO model while enabling USDT transactions that are instant, low-cost, and privacy-oriented.
If the implementation proceeds as outlined, users would be able to hold USDT directly through native Bitcoin addresses and use RGB-compatible Lightning wallets to send and receive the asset. That would give Bitcoin-based stablecoin transfers a wallet and settlement path that is closer to Bitcoin’s native address structure.
Potential implications for Bitcoin-based stablecoin usage
From a product and ecosystem perspective, the key change is not only that USDT is returning to Bitcoin, but that it may do so through a newer protocol stack tied to RGB and Lightning. This distinguishes the effort from the historical Omni route and suggests a different distribution and usage model for Bitcoin-native stablecoins.
If support from wallets and related infrastructure expands over time, the approach could widen the range of stablecoin activity available inside the Bitcoin ecosystem. For now, the disclosed facts remain that Tether is preparing the issuance, UTEXO will handle commercialization and distribution, and the technical foundation will be RGB v0.11.1 combined with Lightning-compatible tooling.