Tether to End USDT Redemptions on Five Blockchains by September

Highlights:

• The USDT issuer will end support of the stablecoin on five older blockchains starting in September.
• The company decided after reviewing activity data on the blockchains.
• Tether will now focus on Layer 2 networks with higher speed, strong communities, and better blockchain performance.

Tether announced that it will stop supporting its USDT stablecoin on five older blockchains starting September 1. The affected networks include Omni Layer, Bitcoin Cash SLP, Kusama, EOS, and Algorand. After this date, users will no longer redeem or transfer USDT on these chains. Tether has since assured that the outstanding tokens on these platforms will be frozen. The company clarified that the move is in line with its long-term strategy to streamline its infrastructure.

🚨 LATEST: Tether is dropping $USDT support on five chains — Omni, Bitcoin Cash SLP, Kusama, EOS, and Algorand — starting Sept 1, freezing transfers and redemptions thereafter.

Tether is reallocating resources toward high-utility chains with active DeFi ecosystems (Ethereum,… pic.twitter.com/GWpe6uyoNb

— CryptosRus (@CryptosR_Us) July 12, 2025

The decision follows a phased withdrawal that began in 2012. The stablecoin issuer stopped minting the stablecoin on Omni Layer, Kusama, and Bitcoin Cash SLP two years ago. The company extended the decision on minting on the Algorand and EOS blockchains last year in June. Although the minting of the token had been stopped, users can still redeem the tokens until now. Under the new update, Tether will shut down operations across these five networks.

Tether, launched in 2014, explained that the transition would enable it to focus on platforms with greater developer interest and activity. The company feels that by focusing on high-performance networks, it will be in a better position to serve the global markets. According to CEO Paolo Ardoino, the move is to meet user trends and the increasing request to access more scalable blockchain platforms.

Declining Demand Drives USDT Redemptions Phase-Out

Tether reviewed usage data before making its decision. The numbers show that activity on the discontinued blockchains has decreased significantly. Omni Layer has approximately $82.9 million USDT, the most significant amount in affected networks. Other blockchains have far smaller values, such as Bitcoin Cash SLP at $986,500, Kusama at $240,000, EOS at $4.2 million, and Algorand at $841,600. Tether made its decision based on this data, indicating the lack of demand among users.

According to the Algorand Foundation, users already had time to redeem their tokens. The foundation said that Tether informed them about the planned exit last year. At that time, customers received a one-year window to complete redemptions. Meanwhile, Algorand continued to experience rising volumes of stablecoins. The foundation also indicated that stablecoin transactions did not decrease after Tether ceased new minting on the chain.

Company Shifts Focus to Active Layer 2 Networks

Tether will target more active and recent blockchain ecosystems. The company will be able to support other Layer 2 networks. These networks have higher speed, performance, and robust developer communities. Tether wants to improve its global reach by focusing on chains that match current demand and growth.

The company encouraged users to redeem their stablecoins before the deadline. Those using third-party services can follow migration steps through their platforms. Tether also said it will keep looking for ways to expand USDT to new blockchain systems. The USDT redemption approach reflects its goal of supporting stablecoins on active and scalable networks. Meanwhile, Tether is planning to issue a new stablecoin in the United States to be used in the domestic market. The company aims to roll out the stablecoin by the end of this year or early next year.