Massive Crypto Move: Tether Disconnects Five Major Blockchains in Strategic Redirection of $110 Billion Asset
In a significant move, Tether, the leading stablecoin issuer, has announced that it will be withdrawing support for USDT tokens on five legacy blockchains - Omni Layer, Bitcoin Cash's SLP (Simple Ledger Protocol), Kusama, EOS, and Algorand. The final cut-off date for this transition is September 1, 2025 [1][3][5].
This decision comes as a strategic shift by Tether, aiming to reallocate resources towards blockchains with higher scalability, developer activity, and community engagement. The decline in usage, limited developer activity, and lower transaction volumes on these legacy chains have been the primary reasons for this move [1][3].
The move by Tether is part of a broader infrastructure shift, focusing on networks like Ethereum, Tron, Solana, and emerging Layer-2 solutions such as the Lightning Network. These networks offer lower fees, better throughput, and are more actively developed, aligning with Tether's plans to have USDT used across DeFi, micro-payments, and cross-border transactions [1][3].
Before September 1, 2025, holders of USDT on these five blockchains will need to act to avoid losing access to their funds. The main options include redeeming or transferring USDT via Tether’s official platform or supported exchanges, moving tokens onto supported blockchains where USDT will continue to function normally [1].
Additionally, some third-party services or platforms might offer token migration services to help move USDT out of the soon-to-be unsupported blockchains. After the deadline, any remaining USDT on these chains will be frozen indefinitely and cannot be retrieved [1][3].
Tether has also recommended users check their USDT holdings on chain explorers for these blockchains to verify balances and take timely action [1].
This move has raised concerns from some industry experts, such as Kevin Mehrabi, founder of StableTech, who has expressed concern about the potential impact on users who may be affected by the freeze, as it's a trade-off between long-term efficiency and short-term confusion.
Affected USDT holders are strongly urged to redeem or migrate their tokens before the freeze deadline.
[1] Tether Official Announcement, [link to the official announcement] [3] CoinDesk Report, [link to the CoinDesk report] [5] Cointelegraph Article, [link to the Cointelegraph article]
- Tether, the leading stablecoin issuer, is withdrawing support for USDT tokens on five legacy blockchains, including Bitcoin Cash's SLP, EOS, and Algorand.
- The decision is a strategic shift by Tether, aimed at reallocating resources towards more scalable, developed, and actively engaged blockchains, such as Ethereum, Tron, Solana, and Layer-2 solutions like the Lightning Network.
- Before September 1, 2025, holders of USDT on these five blockchains must act to avoid losing access to their funds, either by redeeming or transferring the tokens via Tether’s official platform or supported exchanges.
- Some third-party services or platforms may offer token migration services to help move USDT out of the unsupported blockchains.
- After the deadline, any remaining USDT on these unsupported chains will be frozen indefinitely and cannot be retrieved.
- Tether recommends affected users verify their balances on chain explorers and take timely action.
- This move has raised concerns from some industry experts, such as Kevin Mehrabi, founder of StableTech, who expresses concern about the potential impact on users who may be affected by the freeze.
- Affected USDT holders are strongly urged to redeem or migrate their tokens before the freeze deadline.
