Flare launches USD₮0 to boost cross-chain stablecoin liquidity for XRP DeFi

Flare is stepping up its interoperability game with the launch of USD₮0, the omnichain deployment of USDT, the world’s most widely adopted stablecoin.

Now that USD₮0 is live, Flare is connecting the world’s largest stablecoin directly to XRP, the second-biggest non-smart contract asset. By offering a unified liquidity solution and seamless access to the $140 billion USDT supply, without the risks of wrapped tokens or third-party bridges, Flare is laying the groundwork for a more efficient, connected DeFi ecosystem.

Right now, liquidity in DeFi is fragmented. Moving stablecoins across blockchains often means relying on complicated bridges that are slow, expensive, and vulnerable to hacks. Flare’s integration of USD₮0 cuts through that mess. Powered by LayerZero’s Omnichain Fungible Token (OFT) technology, USD₮0 lets users move stablecoins like USDT across Ethereum, Arbitrum, Optimism, Sei — and now Flare — without the usual friction. Since its debut in January, USD₮0 has already facilitated more than $2 billion in cross-chain transfers and is quickly emerging as a liquidity standard in DeFi.

“USD₮0 accelerates real-world stablecoin adoption on Flare by addressing fragmented utility,” said Lorenzo R, Co-founder of USD₮0. “Combined with Flare’s gasless transactions, this integration creates a frictionless, efficient stablecoin user experience, fundamentally enhancing everyday crypto usage.”

Key perks for Flare users include:

• Zero Gas Fees: Sending USD₮0 across the Flare network doesn’t cost a thing, making payments and remittances much more accessible.

• Attractive Yields: Through Flare’s USD₮0 Boost program, holders can earn up to 30% APY (paid in rFLR) from institutional-grade liquidity pools.

• Seamless Interoperability: Thanks to LayerZero’s OFT standard, USD₮0 moves easily across supported blockchains, improving capital efficiency for DeFi projects on Flare.

• Fast Transfers: Cross-chain USD₮0 transactions typically settle in seconds or minutes — a major step up from traditional bridge delays.

USD₮0 is set to play a major role in Flare’s growing XRP DeFi ecosystem, providing the foundational stablecoin liquidity for FXRP and upcoming liquid-staked XRP tokens.

“For Flare’s DeFi ecosystem to thrive, it requires a highly liquid, globally accessible stablecoin,” said Hugo Philion, Co-Founder and CEO of Flare. “USD₮0 fulfills this need perfectly, unifying liquidity across chains and establishing a robust capital base essential for XRP DeFi.”

Flare expects USD₮0 adoption to surge post-launch, with over $1 billion in Total Value Locked (TVL) anticipated. Built directly on Tether’s core infrastructure, USD₮0 brings a unified standard for USDT liquidity across blockchains, cutting down fragmentation and simplifying movement between ecosystems.

Lorenzo R added, “USD₮0 represents a fundamental shift for stablecoins, setting a new standard of interoperability and liquidity. This isn’t just another variant—it’s a foundational shift enabling unprecedented ease of use and adoption.”

To get started, users can migrate their bridged USDT to USD₮0 via the Flare Portal, enjoy gasless transfers, and participate in yield opportunities now available on platforms like SparkDEX and Kinetic.

Flare was founded in 2019 by Hugo Philion (CEO) and Sean Rowan, who met while studying machine learning at University College London, along with Chief Scientist Nairi Usher.

Flare is a blockchain built for data — an EVM-compatible smart contract platform created to meet the high-throughput demands of next-generation applications. With decentralized oracles integrated at the protocol level, Flare gives developers trustless access to time-series data, on-chain events, and Web2 APIs. Whether powering AI models, real-world asset tokenization, or decentralized finance, Flare enables the creation of data-rich applications without relying on bridges or external data providers.