Tether’s USAT stablecoin launched on the Celo blockchain on March 31, marking its first step beyond Ethereum. The US-regulated stablecoin, issued by Anchorage Digital Bank, arrives with built-in minting, burning, and plans to allow transaction fees to be paid directly in USAT.
With USAT on Celo, users gain the ability to mint and burn tokens natively on the network instead of relying on bridges from Ethereum. This native support simplifies transactions and boosts usability for Celo’s mobile-focused audience.
Bringing regulated digital dollars to emerging markets
Celo sees over 4.2 million weekly active USDT users, particularly in Africa and Latin America, where mobile payments thrive through apps like Opera MiniPay, which has 14 million users. Tether and Celo executives emphasize that USAT’s launch aims to expand access to regulated stablecoins for millions who interact primarily via mobile devices.
One notable innovation is the potential for gas fees to be paid in USAT itself, pending approval by Celo’s governance. If greenlit, this feature would eliminate the need to hold native CELO tokens for transaction costs, lowering barriers for new adopters.
Anchorage Digital Bank’s involvement brings a federal charter and regulatory backing that sets USAT apart from Tether’s flagship USDT token. Following Tether’s $100 million investment in Anchorage earlier this year, the partnership solidifies the stablecoin’s compliance credentials.
Distribution will be managed through a Self proof-of-humanity faucet powered by Google Cloud infrastructure, ensuring a smooth onboarding process for users.
This article is for informational purposes and does not constitute financial advice.
