Cross-chain version of Tether stablecoin integrates with Bitcoin Layer 2 Rootstock

The Block

Jul 15, 2025 14:00:36

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The cross-chain version of popular USDT stablecoin has integrated with Bitcoin Layer 2 Rootstock, setting the stage for added interoperability for the world's most popular U.S. dollar-pegged digital token.

"Now live on Roostock, [USDT0] delivers a unified, omnichain deployment, fully backed 1:1 by USDT on Ethereum, helping streamline liquidity and enhancing interoperability across the BTCFi ecosystem," USDT0's developer and Rootstock said Tuesday in a statement.

USDT0 is an omnichain version of Tether’s USDT stablecoin designed for interblockchain compatibility. Although the asset is fully backed by USDT it is not directly managed by Tether. Everdawn Labs manages USDT0, which has been designed to reduce the friction and cost involved in using USDT across different blockchains.

"By bringing USDT0 to Rootstock, we’re making it significantly easier for users to move stable value directly into Bitcoin-based applications," USDT0 co-founder Lorenzo R. told The Block. "Rootstock gives developers the same kind of flexibility they’d expect on Ethereum, all while being anchored to Bitcoin’s proof-of-work. Timing-wise, we felt it was important to support BTCFi now, especially as interest in real Bitcoin-native applications is really growing."

USDT0 has been deployed across Ethereum, Arbitrum, Unichain, and the OP Superchain ecosystem.

"The integration of USDT0 marks a new chapter for the Rootstock ecosystem. It means our users, builders, and institutions now have access to one of the most trusted and widely used stablecoins in the world,” Rootstock's Chief Growth Officer Ben Sanders told The Block.

Launched in 2018, Rootstock is a DeFi Layer aiming to combine the programmability of Ethereum with the store of value and decentralization of Bitcoin.

Tether's USDT, which is originally based on Ethereum, is the world's most popular USD-pegged stablecoin based on market cap. USDT's supply is currently over $160 billion, according to The Block Data Dashboard.

"USDT0 makes it easier to hold and move stable value on Rootstock, which we expect will drive more bridged TVL, transactions and greater usage of DEXs and lending protocols," Sanders also said.

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