Tether CEO Denies Plans for a Proprietary Blockchain Launch

Tether CEO Paolo Ardoino has addressed recent rumors regarding the company's potential plans to develop a proprietary blockchain network.

No Plans for a Tether Blockchain

In a post on X dated November 3, Ardoino made it clear that Tether is not considering the launch of its own blockchain at this moment. He stated:

"Tether is not planning to build an official blockchain at this time."

Tether, the issuer of USDT—currently the largest stablecoin with a market capitalization exceeding $120 billion—operates on more than ten different blockchain networks, including Ethereum, Solana, TON, Aptos, and Algorand.

Emphasis on Neutrality and Partnerships

Ardoino highlighted Tether's commitment to "neutrality" and its preference to avoid centralization through a proprietary blockchain. The company is focused on enhancing USDT integration across existing networks and supporting gas fees.

He further emphasized Tether's dedication to forming partnerships with various companies and communities, aligning with the company's mission of "Unstoppable TogETHER." This reflects a collaborative strategy rather than an attempt to consolidate control through its own blockchain.

While Ardoino did not completely dismiss the idea of a future blockchain, he stated that his comments were intended to keep all options open without excluding any possibilities.

Industry Trends in Blockchain Development

Tether's approach stands in contrast to a growing trend within the industry, where many firms are launching their own blockchain networks. Centralized exchanges like Coinbase and Kraken have introduced their Ethereum layer-2 solutions, Base and Ink, respectively. Additionally, DeFi platforms such as Uniswap and Aave are exploring their own network developments tailored to their user bases.

Despite this trend, critics like Sonic Labs co-founder Andre Cronje warn against the rush to create new networks, citing challenges such as high infrastructure costs, fragmented liquidity, and limited developer support that could hinder the successful adoption of these proprietary systems.