Tether Expands Institutional Push With USD₮-Powered t-0 Network

Tether invests in t-0 Network to enable USD₮-based, near-instant cross-border payments for licensed financial institutions worldwide.

Tether has announced a new step in its institutional strategy with an investment in t-0 Network, a USD₮-powered settlement platform.

The move focuses on improving cross-border payments for licensed financial institutions by using stablecoins as the core settlement layer.

Tether Backs t-0 Network for Institutional Payments

Tether confirmed a strategic investment in t-0 Network to support a USD₮-powered payments system. 

The platform supports licensed banks, fintech firms, and payment institutions. It aims to enable near-instant and low-cost cross-border payments through stablecoin settlement.

The t-0 Network uses USD₮ exclusively as its settlement asset. This approach allows institutions to avoid holding multiple foreign currencies.

Each participant continues to send and receive funds in local currency while settlements occur through a shared global ledger.

Tether stated that the network reduces delays common in traditional correspondent banking. It also lowers fees and improves transaction transparency.

The system operates within regulated financial frameworks.

How the t-0 Network Settlement Model Works

The t-0 Network connects licensed institutions through a single application programming interface.

This structure allows partners to coordinate international payments efficiently. Transactions are matched on a global ledger before final settlement occurs.

Only net balances are settled between partners. This reduces capital needs and limits foreign exchange exposure.

Institutions do not need to pre-fund accounts across multiple jurisdictions.

The network operates as non-custodial infrastructure. Funds move on-chain between approved partners, while ownership remains with each institution.

This design supports auditability and accuracy during settlement.

According to Tether, USD₮ provides deep global liquidity. This makes it suitable for real-time settlement across regions.

The network converts this liquidity into an institutional-grade payments layer.

Positioning Against Existing Payment Networks

The t-0 Network is positioned as a competitor to Circle’s payments network. Both platforms aim to modernize cross-border payments using stablecoins.

Tether’s model relies solely on USD₮ for settlement.

By using stablecoins, the platform aims to reduce reliance on correspondent banks. It also shortens settlement times from days to minutes.

This structure supports banks and fintechs operating across developed and emerging markets.

Paolo Ardoino, Chief Executive Officer of Tether, said the company supports infrastructure that improves payment efficiency.

He stated, “The t-0 network directly addresses the complexity of international payments by combining real-time settlement and cost efficiency.”

Related Reading: Tether Mints $1B USDT on Tron as $3B Liquidity Flood Hits Crypto

Focus on Regulated and Compliant Infrastructure

Tether said the network is built for licensed and regulated institutions. Access is limited to approved participants that meet compliance requirements.

This approach aligns the platform with existing financial oversight standards.

James Brownlee, Chief Executive Officer of t-0 Network, said the goal is to simplify global payments. He stated, “Our goal is to make global payments feel local for institutions worldwide.”

The platform records transactions transparently and settles balances accurately. This supports reporting and compliance needs for participating institutions.

The use of USD₮ allows predictable settlement without currency mismatch risks.

Tether said the investment supports real-world use cases for USD₮. The company continues to focus on financial infrastructure that supports regulated cross-border value transfers.

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