StableChain Mainnet and Ecosystem Go Live
A Tether-supported blockchain project has launched its mainnet, introducing a payment system that utilizes stablecoins for transaction costs instead of volatile native tokens. Stable protocol went live with its layer-1 network on Monday, concurrently unveiling a governance foundation and a dedicated token for network security.
StableChain processes all transactions using USDT for gas payments, thereby eliminating the necessity to hold speculative assets for conducting network operations. The STABLE governance token is responsible for validator staking and protocol decisions, operating separately from the payment layer.
Funding and User Engagement
The launch follows a deposit campaign that successfully attracted over $2 billion from more than 24,000 participating wallets. Bitfinex and Hack VC spearheaded a $28 million seed round that supported the project's development, with Tether CEO Paolo Ardoino serving as an advisor.
Target Audience and Regulatory Considerations
CEO Brian Mehler stated that his team is engaged in ongoing discussions with regulatory bodies worldwide that oversee stablecoin payment systems. The network is designed to cater to both institutional and retail users who are seeking infrastructure specifically built for dollar-pegged token transactions, rather than general blockchain applications.
The Role of the Stable Foundation and STABLE Token
The Stable Foundation operates independently to oversee network development, administer grants, and manage community programs. Holders of the STABLE token are able to participate in governance votes and delegate to validators who secure the blockchain through a proof-of-stake consensus mechanism.
Comparison with Existing Blockchains
Existing blockchains present limitations for payment applications due to design priorities that favor flexibility over transaction speed. For instance, Ethereum requires approximately three minutes for final settlement, which can create friction in real-time payment scenarios, despite hosting the majority of the stablecoin supply.
Emerging Stablecoin Infrastructure Projects
Several projects are currently developing specialized infrastructure tailored for stablecoin operations. Plasma launched a USDT-focused network in September after securing $24 million in funding earlier this year. Circle has announced Arc, a project targeting enterprise payment applications. Stripe revealed plans for its Tempo network after concluding that current platforms are unable to efficiently manage the growing volume of stablecoin transactions flowing through its payment systems.
STABLE Tokenomics and Distribution
The STABLE token has a capped supply of 100 billion tokens with no inflation mechanism. The initial distribution plan allocates 10% to early participants, 40% for developer incentives and partnerships, and 25% portions each for team compensation and investor returns. Vesting schedules are in place, including one-year cliffs and four-year release periods for restricted allocations.
Validator Rewards and Economic Model
Validators will earn rewards from network fees collected in USDT, rather than receiving newly minted tokens. This economic model separates payment processing from token issuance, focusing incentives on transaction volume rather than inflation-driven yields.
Partnerships and Distribution Channels
Partnership agreements with Anchorage Digital, PayPal, and Standard Chartered's Libeara platform are established to provide institutional distribution channels. These collaborations aim to connect the stablecoin network with established financial services providers and crypto infrastructure operators.
Stablecoin Market Growth and Future Outlook
Dollar-pegged token circulation has expanded significantly, growing from approximately $199 billion to $308 billion over the past year, marking a 55% increase. This market growth has attracted entrepreneurs who are building specialized infrastructure as stablecoins increasingly extend beyond trading applications into mainstream payment systems.