XAUt0 adoption slower, with $2.5 million market cap in accordance with CoinGecko.
Polygon helps over $1 billion in USDT liquidity and 6 million wallets.
Tether’s USDT surpasses $167 billion market cap, XAUT crosses $1 billion in August.
Polygon has develop into the newest blockchain to undertake USDT0 and XAUt0, the omnichain variations of Tether’s USDT and XAUT stablecoins, because the stablecoin market continues to develop quickly.
The improve was introduced by USDT0 operator Everdawn Labs, with the combination introducing new cross-chain liquidity requirements constructed on LayerZero’s Omnichain Fungible Token (OFT) framework.
The transfer positions Polygon as a key hub for stablecoin funds, decentralised finance (DeFi), and enterprise use instances.
It follows a yr wherein Tether’s USDT reached a market capitalisation of greater than $167 billion in August, and gold-backed XAUT crossed the $1 billion mark on 8 August.
USDT0 and XAUt0 develop throughout blockchains
USDT0 and XAUt0 differ from conventional stablecoins by not being straight backed by belongings resembling money or gold. As an alternative, they’re minted when customers deposit USDT or XAUT into a selected contract on Ethereum, which serves because the “LockBox” chain for the ecosystem.
USDT0, launched in January 2025, features because the omnichain model of USDT, enabling entry to dollar-pegged liquidity throughout a number of networks. XAUt0 adopted quickly after, offering gold-backed liquidity in an analogous format.
Polygon turns into the eleventh supported blockchain for USDT0 and the third for XAUt0, after earlier deployments on TON and Hyperliquid’s HyperEVM.
The tokens have expanded steadily: USDT0’s market capitalisation climbed to just about $1.6 billion in simply two months, whereas XAUt0 has to this point reached $2.5 million, in accordance with CoinGecko knowledge.
Cointelegraph stories that Polygon’s integration additionally represents a milestone for XAUt0, marking its third blockchain enlargement. Against this, USDT0 has unfold extra extensively, discovering adoption throughout 11 blockchains since its January launch.
Why Polygon is central to stablecoin adoption
Polygon was chosen for the combination as a consequence of its robust present presence within the stablecoin ecosystem. The community already helps over $1 billion in USDT liquidity and greater than six million wallets, making it a big base for each retail and institutional adoption.
The community has additionally undergone main infrastructure upgrades resembling AggLayer and the Bhilai Hardfork, which improve its scalability and compatibility with cross-chain tasks.
These upgrades have made Polygon an “preferrred dwelling” for omnichain stablecoins, with the improve guaranteeing that present Polygon-based USDT (PoS USDT) mechanically turns into a part of the USDT0 community with no change in contract tackle.
With this integration, each dollar-pegged and gold-backed liquidity develop into natively accessible on Polygon. This mix opens new prospects for DeFi functions, cost methods, and real-world asset (RWA) adoption at an institutional scale.
A milestone in stablecoin interoperability
The combination can be notable for being USDT0’s second main improve involving greater than $1 billion in liquidity, following its earlier launch on Arbitrum. Polygon now performs a vital function in offering the infrastructure for seamless stablecoin switch throughout a number of chains.
Since Ethereum acts because the LockBox chain, all USDT0 and XAUt0 minted tokens throughout networks correspond to reserves locked on Ethereum. This method ensures that the availability throughout blockchains stays in keeping with deposits on the bottom chain.
The broader context highlights the rising demand for stablecoins as a basis for digital funds and tokenised belongings.
With USDT’s dominance surpassing $167 billion in market worth and XAUT gaining traction previous $1 billion, the addition of omnichain liquidity instruments like USDT0 and XAUt0 displays a market more and more targeted on interoperability and scalability.
