December 17, 2025 – Tether, the issuer of the world’s largest stablecoin USDT, has announced a strategic $8 million investment in Speed1, Inc. (Speed), a payments infrastructure company specializing in instant global settlements using the Bitcoin Lightning Network combined with stablecoins.
The funding round was co-led by Tether and Ego Death Capital, a Bitcoin-focused venture firm. This move underscores Tether’s push to expand USDT’s role from primarily a trading asset into a tool for everyday real-world payments, leveraging Lightning’s advantages of near-instant transactions and ultra-low fees.
Speed’s platform integrates deeply with the Lightning Network – Bitcoin’s layer-2 scaling solution – while enabling stablecoin settlement to provide price stability for users and merchants. This hybrid approach addresses key pain points in crypto payments: Bitcoin’s volatility and the higher costs associated with chains like Ethereum or Tron.
Currently, Speed processes over $1.5 billion in annualized payment volume and serves approximately 1.2 million users and businesses through its core products, Speed Wallet and Speed Merchant. These tools support native BTC and USDT settlements, making them suitable for cross-border remittances, creator payouts, merchant transactions, and enterprise integrations.
Tether CEO Paolo Ardoino highlighted the synergy:
“Speed is showing what Lightning can achieve when paired with a stable, liquid digital dollar like USDT. We support teams building practical infrastructure that reduces friction in payments and expands access to reliable settlement rails. Speed’s execution and adoption signal that Bitcoin-rooted networks are ready for mainstream commerce.”
The investment aligns with Tether’s broader strategy to bolster Bitcoin-aligned infrastructure amid its record profits – exceeding $10 billion in the first nine months of 2025 alone, largely from interest on U.S. Treasury holdings backing USDT. Tether has been actively diversifying, with investments in Bitcoin mining, AI, education, and other sectors.
For the Lightning Network, which has seen growing capacity and adoption in 2025, this backing from the dominant stablecoin issuer could accelerate mainstream use cases, particularly in emerging markets where low-cost, instant transfers are critical.
This development marks a significant step toward bridging Bitcoin’s security with stablecoin utility, potentially positioning Lightning as a competitive alternative to traditional payment rails like Visa or Swift for global commerce.
