Bitfinex Moves $1.5mln Worth Tether to Bitcoin Sidechain

Bitfinex, popular and relatively controversial cryptocurrency exchange, has transferred 1.561 million Tether (USDT) token to the Omni Protocol, from the Liquid Bitcoin (BTC) sidechain.

The information regarding the protocol swap of the US dollar pegged stablecoin was revealed by Paolo Ardoino, Bitfinex CTO, through a tweet on last Saturday.

The interaction pushes up the quantity of USDT present on the platform after the stable coin was deployed on the Liquid sidechain at July end. Ardoino stated that the changes will have a positive impact on the protocol.

“Liquid sidechain has now more liquidity for atomic swaps and cross-exchange arbitrage.”

Back in July, Blockstream, which is focused on Liquid Bitcoin sidechain, introduced a unique tool that permits users to handle atomic swaps of all digital assets backed by the Liquid network.

Notably, in June 2015, Liquid included confidential trades feature, structured to enhance Bitcoin user safety, by holding remitted amount visible only to partakers in the deal, or other mentioned parties.

Furthermore, Blockstream CEO Adam Back announced this summer that Bitcoin clients could utilize Lightning Network while remitting coins on the Liquid sidechain. Back, in the latest interview, was positive about times ahead about Bitcoin sidechains. Back stated that they will not consider altcoins to avoid its features being brought on Bitcoin.

Tether was actually created to function on the Omni layer of the Bitcoin covenant. Tether states that functioning on Omni provides stability, similar to Bitcoin, to the asset.

Right from development in 2014, Tether has incorporated other remittance covenants. The stablecoin is also deployed on the Ethereum blockchain, making it functional in smart contracts and apps deployed on that platform.