USDT Returns to Bitcoin: Utexo Launches Commercial Stablecoin

The largest stablecoin, USDT, is making a return to its roots on the Bitcoin network.

Utexo, a Tether-backed infrastructure venture, has obtained a commercial license to launch USDT on Bitcoin this month.

This marks a significant move for the stablecoin, which was first issued on Bitcoin via the Omni protocol in 2014 but has since migrated to Ethereum and Tron.

The new USDT on Bitcoin will be built on the RGB protocol and Bitcoin's UTXO model, allowing for private transfers, native swaps between BTC and USDT, and BTC-backed lending without wrapping.

Utexo's system will also support blacklisting UTXOs tied to sanctioned or illicit activity, rather than freezing addresses entirely.

Once the Bitcoin-based rollout is live, Utexo plans to expand USDT support to the Lightning Network, which would enable faster and lower-cost payments.