Tether Discontinues USDT Support on Five Legacy Blockchains by September 1

Tether, the world’s largest stablecoin issuer, has announced that it will discontinue support for its stablecoin, USDT, on five legacy blockchains: Algorand, Bitcoin Cash, EOS, Kusama, and Omni. This decision, effective by September 1, is part of a broader infrastructure review aimed at streamlining Tether's operations and focusing on networks with stronger adoption and scalability.

The move to sunset USDT on these blockchains is a strategic decision based on a review of usage data, which indicated dwindling activity on these networks. Tether's CEO, Paolo Ardoino, stated that this decision allows the company to concentrate on platforms that offer greater scalability, developer activity, and community engagement—all key components for driving the next wave of stablecoin adoption.

Tether had previously announced in August 2023 that support for Bitcoin Cash, Kusama, and Omni would be phased out due to low activity and ongoing performance issues. Minting on those networks had already stopped, but users could still redeem tokens until now. The company has urged users holding USDT on the deprecated chains to redeem their tokens or request reissuance on a supported blockchain.

While these networks were once part of Tether’s multi-chain strategy, most have faded into relative obscurity. Omni, in particular, played a historic role as the original home for USDT when it launched in 2014. Built on top of Bitcoin, it offered a way to issue tokens long before Ethereum became the industry standard. However, usage plummeted over the years as faster, more flexible blockchains gained ground.

Tether is now doubling down on faster infrastructure like Bitcoin’s Lightning Network, which it named as a key focus. Ethereum and Tron remain the primary homes for USDT, with about $74 billion and $81 billion issued, respectively—accounting for the bulk of the $159 billion total in circulation. The company now issues USDT across a dozen networks, including Solana, Polkadot, Avalanche, and TON, but has made it clear that the days of maintaining low-volume chains are over.

This strategic realignment reflects Tether's commitment to focusing on networks that can support the growing demand for stablecoins. By discontinuing support for legacy blockchains with low usage, Tether aims to enhance its operational efficiency and ensure that USDT remains a reliable and widely adopted stablecoin in the crypto ecosystem. The impact of this decision extends beyond infrastructure. Projects built on these chains now face critical choices: migrate liquidity, lobby for alternative stablecoins, or risk isolation. Tether has given users until September 1 to redeem or migrate their holdings, but the clock is ticking for these ecosystems to prove their relevance.