Tether chooses Kava as gateway for Cosmos USDT

Tether has chosen Kava, a layer-1 blockchain designed for scalability and speed, as its gateway to the Cosmos ecosystem
Tether has chosen Kava, a layer-1 blockchain designed for scalability and speed, as its gateway to the Cosmos ecosystem

Tether has chosen Kava, a layer-1 blockchain designed for scalability and speed, as its gateway to the Cosmos ecosystem. Tether’s decision to bring the world’s most liquid, secure, and transparent stablecoin USDT to Cosmos appchains and Kava EVM DApps is set to bring increased liquidity to the Cosmos ecosystem.

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https://twitter.com/Tether_to/status/1671445095965499393?s=20

Scott Stuart, Kava co-founder, said: 

“Kava’s support of Tether’s USDT integration will help bring stability and unlock liquidity across Cosmos and EVM ecosystems. Native USDT issued on Kava will address the limited growth, low liquidity and increased volatility of using the Cosmos ecosystem, and help ignite a robust DeFi economy, empowering appchains, EVM DApps and their users with a secure and widely adopted canonical stablecoin.”

Tether’s decision to integrate USDT natively on Cosmos, using Kava as a hub, will bring accessibility and financial stability to users and developers within the Cosmos ecosystem. Unlike external bridge solutions — which proliferate dozens of versions of a wrapped asset, siloing liquidity, discouraging participation and harming user experience — natively issued USDT on Kava simplifies the process and offers a streamlined, efficient mechanism for stablecoin liquidity provision and transfer between the Cosmos and Ethereum ecosystems.

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As a result, this integration could potentially catalyze a significant expansion of the DeFi economy on Cosmos, providing a compelling solution to the liquidity problem that has been challenging since the collapse of Terra’s UST in Q1 2022. Deploying Tether, a stablecoin with a strong market reputation and 65% dominance, will also offer increased security and reliability to users and developers alike.

“The Kava network is a unique and widely followed blockchain with a robust track record of four years with zero security issues, which is essential to protecting USDT users,” said Paolo Ardoino, chief technical officer at Tether. “Together, we aim to reshape the future of decentralized finance, fostering a robust and inclusive ecosystem that benefits users worldwide.”

About Kava

Kava is a secure, lightning-fast layer-1 blockchain that combines the developer power of Ethereum with the speed and interoperability of Cosmos in a single, scalable network. Committed to fostering innovation and growth, Kava is a trusted choice for developers and users worldwide.

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Contact

Guillermo Carandini

Media manager, Kava