Stable, Backed by Tether, Shifts Gas Token from gUSDT to USDT0 in Major Network Upgrade
- What Is Stable Building?
- Key Improvements in the v1.2.0 Upgrade
- Why This Upgrade Matters
- What’s Next for Stable?
- FAQs
Stable, the Tether-backed LAYER 1 blockchain, is set to transition its native gas token from gUSDT to USDT0 on February 4, 2026, in a protocol upgrade aimed at simplifying user experience and enhancing its stablecoin-focused infrastructure. The v1.2.0 update, arriving just two months after the chain’s mainnet launch, eliminates the need for token conversions and unifies fee payments under a single stablecoin flow. With over $780 million in on-chain value and partnerships with institutional heavyweights like Anchorage Digital and PayPal Ventures, Stable is positioning itself as a leader in real-world stablecoin payments. Here’s what you need to know.
What Is Stable Building?
Stable’s latest upgrade replaces gUSDT with USDT0 as the native gas asset, streamlining transactions by removing the need for users to swap between token formats. This MOVE consolidates fee payments and settlements into a single stablecoin-denominated process—a game-changer for institutional adopters. Since its December 8 mainnet debut, the network has onboarded $780M+ in value and secured partnerships with Anchorage Digital, PayPal Ventures, and payment platforms like Oobit and Orbital.
The platform’s thesis? "The global economy needs a native stablecoin infrastructure for real-world payments," and it’s tackling the pain points of existing blockchains head-on. With sub-second finality via StableBFT consensus, full EVM compatibility, and gas fees paid purely in USDT, Stable eliminates volatility exposure for treasury operations—a critical fix for payment processors and financial institutions.
Key Improvements in the v1.2.0 Upgrade
Beyond the gas token switch, the update introduces protocol-level signals for delegation cancellations, letting apps and indexers track staking lifecycles deterministically. Other fixes include Solidity compatibility patches and API-managed gas exemptions for zero-gas transaction flows. Partners are advised to update systems for USDT0-based fee handling and delegation tracking.
Notably, Stable teased its upcoming StablePay wallet last year, promising fee-free P2P transfers at the wallet level. The team plans to scale through enterprise collaborations, positioning the chain as the go-to for institutional payment rails. Competitors like Circle’s Arc and Stripe’s Tempo are racing to build similar networks, while Bitfinex-backed Plasma (another USDT-centric chain) launched its mainnet beta in September 2025 with $28M in funding from Bitfinex and Hack VC.
Why This Upgrade Matters
For institutions, Stable’s USDT-only gas model is a revelation. Traditional chains force treasuries to manage volatile gas tokens—imagine a CFO explaining why ethereum fees spiked 300% during payroll processing. Stable’s fixed-cost approach could accelerate adoption among corporates and payment giants. As Paolo Ardoino (Tether CEO and Plasma advisor) puts it: "Enterprise adoption hinges on predictability."
Data from CoinMarketCap shows stablecoin transaction volumes hit $7.4T in 2025, underscoring the demand for specialized infrastructure. Stable’s EVM compatibility also lets developers port existing dApps seamlessly—a strategic edge over non-EVM rivals.
What’s Next for Stable?
With the token switch finalized, expect focus to shift to StablePay’s launch and enterprise onboarding. The chain’s institutional-first design contrasts with retail-heavy peers, but as BTCC analysts note: "Payment processors will drive the next wave of crypto adoption." One unresolved question? How Plasma’s similar USDT focus will impact Stable’s growth—though with Tether’s backing, both chains might thrive.
This article does not constitute investment advice.
FAQs
When does Stable’s gas token change take effect?
The transition from gUSDT to USDT0 occurs on February 4, 2026.
Which institutions partner with Stable?
Anchorage Digital, PayPal Ventures, Oobit, and Orbital are among key partners.
How does Stable’s gas model differ from Ethereum?
Stable uses USDT for all fees, eliminating exposure to volatile gas token prices.