USDT Set to Return to the Bitcoin Network
According to BlockBeats, on July 7, Tether is preparing to issue USDT natively on Bitcoin through the RGB v0.11.1 protocol, with UTEXO taking charge of commercial issuance and distribution. The development would mark USDT’s return to the Bitcoin main chain years after the stablecoin first appeared on Bitcoin in 2014 via the Omni protocol.
UTEXO co-founder Viktor Ihnatiuk said the company has received Tether’s support to advance the rollout of native Bitcoin-based USDT. In the disclosed setup, RGB uses client-side validation and can work alongside the Lightning Network. That design allows the asset to retain the security properties of Bitcoin’s UTXO model while supporting instant transfers, lower transaction costs, and improved privacy characteristics.
Native Bitcoin Addresses and Lower-Cost Transfers
Under the plan, users would eventually be able to hold USDT directly through native Bitcoin addresses and send or receive it using Lightning wallets that support RGB, removing the need to depend on other public blockchains or intermediary service providers. This is a notable contrast with the current USDT circulation structure, where the token is primarily active on account-based networks such as TRON and Ethereum.
Compared with those account-model chains, RGB is designed around Bitcoin’s UTXO framework, which naturally supports one-time addresses. Combined with off-chain payments through the Lightning Network, that structure may provide stronger transaction privacy. The report also noted that deeper integration between UTEXO and Tether could reduce intermediary fees and limit data collection. In addition, users may use UTEXO’s already launched cross-chain bridge to move USDT between different blockchains at relatively low cost.