TLDR

Tether Ends USDT Issuance on 5 Chains, Keeps Wallet Transfers Active
Legacy Chains Lose Tether Support, Tokens Still Transferable
Tether Halts Support on Omni, SLP, EOS, Algorand, Kusama
USDT Issuance Stops on Low-Demand Chains Amid Strategy Shift
Tether Winds Down Legacy Chains, Prioritizes High-Use Platforms

Tether has revised its transition strategy for five legacy blockchains amid mounting pressure from their respective communities. The company confirmed that it will no longer freeze USDT tokens on Omni Layer, Bitcoin Cash SLP, Kusama, EOS, and Algorand. Instead, Tether will halt official issuance and redemption while maintaining wallet transfer functionality for these networks.

Omni Layer Tokens Lose Official Backing

Tether will end issuance and redemption on Omni Layer but will not freeze existing tokens on the network. This change reflects user feedback and signals a shift from the company’s initial decision to freeze assets fully. As a result, tokens can still move between wallets but lack direct support from Tether.

Omni Layer was once central to Tether’s operations and served as the first chain for USDT. However, it experienced a significant decline in usage and development activity over recent years. Tether has now chosen to reallocate resources to chains with better infrastructure and higher demand.

While the tokens on Omni will stay functional in basic form, they no longer represent officially supported assets. Users on the chain lose redemption capabilities, leaving them in an unsupported state. Tether made this trade-off to reduce technical overhead without locking users out entirely.

Bitcoin Cash SLP No Longer Supported

Tether will also halt official services on Bitcoin Cash’s Simple Ledger Protocol, effective from September 1, 2025. Users will still be able to transfer tokens, but they can no longer redeem or receive new USDT through SLP. This partial rollback aims to preserve user access without keeping full operational costs.

The platform failed to gain meaningful traction compared to larger blockchain ecosystems like Ethereum or Tron. Tether considered community input before deciding against freezing tokens entirely, opting for a balanced response. The change helps protect user assets from becoming inaccessible, even as support ends.

The company emphasized that Tether cannot guarantee unsupported assets. SLP token holders will need to either migrate to active chains or continue limited use. This move aligns with Tether’s goal of focusing only on ecosystems with robust scalability and developer interest.

Algorand, EOS, Kusama Join the Exit List

Alongside Omni and SLP, Tether will stop supporting USDT on Algorand, EOS, and Kusama but will not freeze assets. These platforms faced low usage metrics and insufficient demand from developers and users. Tether chose to pull back without impacting token movement, reducing risk of backlash.

Algorand and EOS previously aimed to challenge larger smart contract platforms but struggled with adoption at scale. Kusama served as an experimental network but failed to host significant USDT activity. Tether’s transition plan enables communities to continue basic functionality without relying on formal support.

Tether continues to expand its footprint on high-demand chains like Ethereum and Tron while preparing a native Bitcoin USDT using RGB protocol. The company’s actions reinforce a strategy focused on stability, efficiency, and community responsiveness. Tether plans to remain transparent throughout the wind-down and beyond.

 

The post Tether Walks Back Freeze Plans on Legacy Blockchains appeared first on CoinCentral.

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Filed under: News - @ August 29, 2025 9:30 pm