Tether to Launch Dirham-Pegged Stablecoin on TON Blockchain

Tether, the issuer of the world’s leading stablecoin, has announced plans to introduce a dirham-pegged stablecoin based on The Open Network (TON) blockchain.

The new digital currency aims to improve financial transactions in the United Arab Emirates and is expected to facilitate smooth digital commerce in the region.

A dirham-pegged stablecoin offers stability and reliability by maintaining a 1:1 peg with the UAE dirham, the official currency of the UAE. This peg ensures that the stablecoin’s value remains consistent with the dirham, making it an attractive option for businesses and individuals seeking to mitigate the volatility commonly associated with other cryptocurrencies.

Alessandro Giori, Tether’s senior strategic partnership manager, shared the news at the highly anticipated TON Gateway event in Dubai.

He commended the TON blockchain, noting that it is the “fastest blockchain” to achieve 1 billion USDT transactions since its launch.

For Tether, this partnership with TON could help make the dirham-backed stablecoin reliable. It is an efficient choice for digital transactions in the UAE and beyond.

Earlier this year, Tether announced its work with the UAE-based Phoenix Group and Green Acorn Investments to bring the dirham-backed stablecoin to life.

The goal is to create a digital version of the UAE dirham that will keep its value steady, fully backed by liquid reserves held in the UAE. This means every dirham-pegged token will be directly linked to the value of the AED, ensuring that users can trust it to hold its worth.

Tether’s collaboration with Phoenix Group and Green Acorn Investments underscores the strategic importance of local partnerships in the development and deployment of the dirham-pegged stablecoin. These partnerships facilitate access to liquid UAE-based reserves, ensuring that the stablecoin is fully backed and compliant with local financial regulations.

Green Acorn Investments: An investment firm specializing in digital assets and financial technology, providing strategic insights and capital support.

Phoenix Group: A UAE-based financial services firm with extensive experience in digital asset management and blockchain technology.

This remarkable achievement underscores the network’s efficiency and ability to manage large transaction volumes, making it a suitable platform for Tether’s new stablecoin.

The dirham-pegged stablecoin is intended to provide a dependable and effective solution for digital transactions, catering to both local users and international businesses eager to engage with the UAE market.

By linking the stablecoin’s value to the UAE dirham, Tether aims to offer a stable alternative to traditional cryptocurrencies, which can often be quite volatile.

“This partnership with TON marks a significant advancement for Tether and the digital currency landscape in the UAE,” Giori remarked. “We believe that this stablecoin will not only benefit individual users but also businesses seeking secure and efficient ways to transact in the digital era.”

This new stablecoin could be a game-changer, especially in a time when many are interested in the security and speed of digital currencies. Tether’s choice to work with TON, a blockchain known for its rapid transaction speeds, means users will be able to make secure transactions faster than ever.

Tether’s dirham-pegged stablecoin could play a crucial role in shaping the future of financial transactions in the region. With its launch, Tether aims to support the development of a strong digital economy, further establishing the UAE’s status as a global hub for innovation and technology.