The Tether-backed Stable protocol has officially launched its USDT-driven blockchain, StableChain, along with a new governance foundation and a proprietary token.
Per the protocol’s announcement, the new layer-1 network is optimized for stablecoin transactions and utilizes Tether’s USDt (USDT) for gas fee payments, eliminating the dependency on volatile assets for processing payments.
In conjunction with the mainnet launch, Stable debuted the Stable Foundation and the STABLE governance token on Monday, decoupling network security from USDT payment transactions.
This rollout follows a pre-deposit campaign that gathered over $2 billion from more than 24,000 wallets. It also comes on the heels of a $28 million seed funding round supported by crypto exchange Bitfinex, Hack VC, and other investors, including Tether CEO Paolo Ardoino, who is also listed as an adviser to the initiative.
The launch enhances Bitfinex and Tether’s stablecoin infrastructure, which are both part of the iFinex parent company, thereby extending USDT’s utility as a fundamental element of the network’s architecture.
Brian Mehler, CEO of Stable, mentioned to Cointelegraph that the company has “maintained regular communication with regulatory bodies overseeing the implementation of stablecoin and payment regulations globally.”
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Stablecoins’ influence in digital payments keeps growing
The surge of stablecoins — digital tokens aimed at sustaining a stable value, frequently pegged to the US dollar — has prompted banks, payment firms, and remittance providers like Western Union to explore new strategies.
Nonetheless, most stablecoins operate on blockchains that were not designed for rapid, low-cost transactions. For instance, Ethereum, which hosts the majority of stablecoin supply, can take approximately three minutes to finalize a transaction.
These limitations have sparked interest in blockchains specifically crafted for stablecoin settlements.
In February, stablecoin startup Plasma secured $24 million to develop a new blockchain for USDT, with funding led by Framework Ventures and supported by Bitfinex, Peter Thiel, and Tether CEO Paolo Ardoino. Plasma’s mainnet beta went live on Sept. 25, debuting alongside its native XPL token.
In August, Circle revealed plans to launch Arc, an EVM-compatible layer-1 blockchain designed for enterprise-level stablecoin payments, FX, and capital markets later this year.
The following month, payment giant Stripe announced intentions to create a new layer-1 network named Tempo, after CEO Patrick Collison commented that current blockchains are “not optimized” for the increasing stablecoin and crypto activity on Stripe’s platform.
According to DefiLlama data, stablecoin market capitalization has surged to approximately $308.45 billion from $198.76 billion a year ago, marking a roughly 55% increase over that period.
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