Tether’s U.S. dollar-pegged stablecoin, USA₮, has launched on the Celo blockchain with native minting, burning, and transaction fee payment capabilities available from the start.
The deployment makes Celo the second blockchain to support USA₮ as a native asset after Ethereum. The integration is designed to simplify stablecoin transactions by allowing users to pay network fees directly in USA₮ rather than requiring them to hold Celo’s native token.
The feature is supported by Celo Improvement Proposal 64, or CIP-64, a fee abstraction mechanism that enables users to pay transaction costs with supported digital assets. The approach could reduce friction for users who primarily hold stablecoins and may not want to acquire a separate blockchain token to complete transactions.
The USA₮ launch on Celo enables native token issuance, redemption, and gas fee payments, allowing users to transact without relying on Celo’s native token for network fees.
The deployment could strengthen stablecoin activity across Celo’s ecosystem, which has focused on mobile-first financial applications and services aimed at improving access to digital payments.
Celo Expands Its Role in Stablecoin Distribution
Celo accounted for 28% of all USD₮ transfers across blockchain networks during the second quarter of 2026, according to the information provided. Weekly active users of USD₮ on the network increased by 67% during the same period, reinforcing Celo’s position as an important distribution channel for Tether-linked assets.
The network’s growing stablecoin activity has been supported by integrations with consumer-oriented wallets, including Valora and Opera-backed MiniPay.
MiniPay, which has approximately 18 million users, is expected to add support for USA₮ alongside its existing offerings of USD₮ and Tether Gold, also known as XAUt0. The planned integration could expand access to USA₮ through a mobile-focused wallet platform with a large user base.
More than half of transaction fees on Celo are already paid using stablecoins, particularly USD₮. The trend indicates that stablecoins have become a central part of the network’s economic activity and may support the broader use of digital assets for payments and other financial services.
The integration is expected to broaden access to a regulated U.S. dollar stablecoin across Celo’s mobile-focused payment infrastructure, including applications used for remittances, savings and commerce.
Anchorage Digital Bank, the federally chartered issuer of USA₮, said the stablecoin had been structured to meet U.S. regulatory requirements.
Marek Olszewski, chief executive officer of Celo Core Co., said the deployment would bring a compliant U.S. dollar stablecoin to financial infrastructure already used by millions of people for cross-border transfers, savings and commercial payments.
Tether Chief Executive Officer Bo Hines said the decision to expand USA₮ to Celo reflected the network’s existing scale and its alignment with the stablecoin’s broader objectives.
New Dollar. Proven Rails.
From the back of a cab to anywhere you go, spend, send, and save with @usat on the world's most widely adopted network for stablecoin payments.
USA₮ now live on Celo, issued by @Anchorage and backed by @Tether. pic.twitter.com/rt064KP6Sq
— Celo (@Celo) July 29, 2026
Stablecoin Expansion Targets Mobile Finance and DeFi
USA₮ was trading close to its intended $1 value at approximately $0.9987 as of July 29, 2026. The article placed its market capitalization at $118.4 billion and estimated that it represented about 62% of stablecoins in global circulation.
The stablecoin remains an important source of liquidity across digital asset markets as regulatory oversight in the United States and Europe continues to increase. Tether also burned approximately $2.5 billion in USDT earlier in July, reflecting adjustments related to token supply, liquidity and market demand.
BREAKING: USA₮ is now live on Celo!
The US Dollar-backed stablecoin issued by @Anchorage & supported by @Tether is deployed on Celo, the most widely adopted network for stablecoin payments — with mint, burn & gas currency support on day one
Why Celo & how to get USA₮ ↓ pic.twitter.com/KiIgpoCM7B
— Celo (@Celo) July 29, 2026
Celo said the USA₮ deployment supported its objective of developing programmable financial infrastructure for mobile users, particularly in emerging markets.
Future integrations are expected to include decentralized finance platforms such as Uniswap and Morpho, which could provide additional applications for USA₮ within lending, trading and other blockchain-based financial services.
Developers can begin integrating USA₮ into Celo-based applications, while future DeFi deployments could expand the stablecoin’s use across payments, trading and decentralized financial services.
The addition of USA₮ further strengthens Celo’s position as a blockchain centered on stablecoin-based applications. With more than 90% of XAUt0 holders already using the network, the new deployment could increase Celo’s importance in the distribution of Tether-related assets.
The launch also highlights the expanding role of stablecoins in cross-border payments and decentralized finance. Market participants will be watching whether the ability to pay blockchain fees directly with a stablecoin increases adoption and encourages similar fee models on other networks.
