USDT is coming back to Bitcoin. Utexo, a project backed by Tether, announced that it will offer USDT on the Bitcoin network using the RGB protocol, with the mainnet launch planned for October 2026 and Lightning Network support to follow later (crypto.news, The Cryptonomist).
Why this is a return
Tether first issued USDT on Bitcoin in 2014 through the Omni Layer. Over the following years most USDT activity moved to faster and cheaper networks such as TRON and Ethereum, and later Solana and TON. Utexo brings USDT back to Bitcoin on a newer technology stack.
What Utexo offers
| Feature | What it means |
|---|---|
| Private transfers | RGB keeps transfer data between the parties instead of on a public ledger |
| BTC-USDT swaps | Swap directly between bitcoin and USDT without an intermediary |
| BTC-backed loans | Borrow USDT against native bitcoin, without wrapping it |
| Output-level compliance | Specific illicit transaction outputs can be blacklisted, instead of freezing entire accounts |
| Lightning (later) | Faster, cheaper USDT payments on Bitcoin's payment layer |
Utexo was founded in 2025 and raised $7.5 million in a round led by Tether. It plans to provide the software connections, developer tools and cloud services that other businesses need to offer Bitcoin-based USDT products.
What it means for USDT holders
- One more network to check. USDT already lives on TRON (TRC20), Ethereum (ERC20), BNB Chain (BEP20), Solana and TON. Bitcoin (RGB) adds another, and sending to the wrong network is still the most common way to lose funds.
- Wallet support decides access. Bitcoin USDT needs a wallet that understands RGB assets. Until your wallet lists it, keep using the networks it already supports.
- Swaps between Bitcoin and dollars get simpler. Today most people swap BTC to USDT through an exchange or a cross-chain swap. Native BTC-USDT swaps on Bitcoin would remove a step.
Wallets that support many networks and built-in swaps handle these changes best. See how wallets compare network by network in our best USDT wallets ranking.