Tether, the issuer of USDT, the world's largest stablecoin, has announced it will discontinue its services on five "legacy" blockchains: Algorand, Bitcoin Cash, EOS, Kusama, and Omni. This broadens the scope of Tether’s decision and signals a profound strategic change, which will affect all USDT holders on these platforms. BlockchainShock.com is your go-to source for insight about what this all means for you and how to make sense of this shifting landscape.

Why is Tether Making This Move?

The decision to sunset support for these alternative blockchains has come after a long period of contemplation. In August 2023, Tether announced that it would no longer support Bitcoin Cash, Kusama and Omni versions. The company claimed low usage and poor performance as justification for this decision. In June 2024, the company stopped minting on EOS and Algorand. This infrastructural strategic shift is emblematic of Tether’s larger work to strengthen its infrastructure, focusing resources and utility on the most-used, actively-developed blockchains. Match with how communities are using their space today. Commit resources to the platform that offers better scalability, more developer activity, and overall better community engagement.

These platforms are the core of Tether’s rationale in what it hopes kicks off the next big wave of stablecoin adoption. The company is strategically redirecting its focus to Layer 2 solutions like the Lightning Network and newer blockchains. These platforms provide quicker settlement times and better developer tooling. This pivot isn’t merely the act of cutting losses, however—it’s a proactive effort to position USDT for future growth and heightened usability. This action represents a significant step in USDT’s ongoing efforts to address the efficiency and effectiveness of USDT within the increasingly dynamic digital asset ecosystem.

In past two years, the share of USDT on these five networks has dramatically reduced. This trend has transformed into a powerful driver in our decision-making process. Rather than spread resources thinly across underperforming chains, Tether is consolidating its efforts on platforms that demonstrate stronger potential for growth and innovation. By taking such a targeted approach, Tether is able to more effectively serve its users and help ensure that USDT remains stable, trusted, and reliable.

Implications for USDT Holders on Affected Blockchains

The immediate impact is clear: USDT holders on Omni, Bitcoin Cash SLP, Algorand, Kusama, and EOS need to take action. All redemptions will end through these chains, and all outstanding tokens on them will be frozen as of September 1st, 2025. This basically ensures that after this date, USDT on these blockchains will in practice no longer be usable. Interested users should register before it’s too late! Redeem or migrate your funds before the October 13th deadline to maintain access to your assets. No additional USDT will be minted or redeemed on these chains past the cutoff.

How to Migrate Your USDT

For those holding USDT on the affected blockchains, here are the steps you should take to migrate your funds:

  1. Identify Your Holdings: Determine the amount of USDT you hold on each of the affected blockchains (Omni, Bitcoin Cash SLP, Algorand, Kusama, and EOS).
  2. Choose a Migration Path: Select a platform or exchange that supports USDT migration from the affected chains to a supported blockchain like Ethereum or Tron.
  3. Initiate the Transfer: Follow the instructions provided by the chosen platform to transfer your USDT. This typically involves sending your USDT to a designated address on the new blockchain.
  4. Verify the Transfer: Confirm that the USDT has been successfully transferred to your new wallet.

This migration is critically important to avoid losing access to your USDT balance. To avoid missing the June 30, 2026 deadline and losing those funds altogether, these projects need to be advanced.

Broader Strategy: Layer 2 Solutions and Future Integrations

Tether’s move to strengthen its ties with Layer 2 networks such as the Lightning Network and newer blockchains exemplifies this strategic pivot. This branding shift seeks to improve the scalability and efficiency of USDT. Layer 2 solutions provide more immediate and cost-effective transactions compared to the primary blockchain. They definitely solve the problems of high transaction fees and slow confirmation times.

Tether has its eyes set on these solutions to make USDT more usable than ever. That will give NFC the practical utility for everyday consumer transactions. This is especially true for more demanding use cases such as micro-payments or instant cross-border settlement, where speed and low transaction cost are essential. On top of that, Tether is probably in active pursuit of integrations with other up-and-coming blockchain platforms that provide enhanced features and functionalities. This might be anything from blockchains with better privacy capabilities, smart contract capabilities to DeFi applications.

The company’s long term goal is for USDT to become the most user-friendly stablecoin. Finally, they desire it to be open, free, and easy to implement across all different blockchain ecosystems. You have to be real ambitious — you have to be an advocate. Continue the effort to find and integrate with platforms that deliver maximum scalability, security, and developer agility.

Additional Considerations for USDT Holders

USDT holders will need to move fast to migrate their USDT to the new version. Further, they need to actively monitor outside developments that may impact existing or future holdings.

Even more, a potential new wave of regulatory scrutiny would likely present tons of challenges and some important opportunities. The recently passed GENIUS Act would require issuers of stablecoins to deliver monthly, independently audited reports. According to Bitfinex, this step will protect USDT holders by increasing transparency.

  • Stable store of value: USDT's peg to the US dollar provides a stable store of value, making it useful for holding and transacting in a more predictable environment.
  • Protection of purchasing power: For those based outside of the United States, holding USDT could protect purchasing power if the USD is expected to appreciate against their home currency.
  • Stable investment alternative: USDT is a great alternative for those looking for a stable investment.

The end of USDT on these five blockchains marks a notable change in Tether’s approach. USDT holders on the impacted chains need to move right away. This move around to ever further marks more overall push to make the most out of infrastructure and make USDT more user friendly. Meanwhile, Tether is directing its attention towards Layer 2 solutions and the newer blockchains. This strategy makes USDT more future-proof and supports it in achieving greater adoption. For all the updates and closer looks at what this rapidly changing stablecoin world means, make sure you’re following BlockchainShock.com.

The discontinuance of USDT on these five blockchains represents a significant shift in Tether's strategy. While it requires immediate action from USDT holders on the affected chains, it also reflects a broader effort to optimize the infrastructure and enhance the usability of USDT. By focusing on Layer 2 solutions and newer blockchains, Tether aims to position USDT for future growth and wider adoption. Stay tuned to BlockchainShock.com for the latest updates and in-depth analysis of the evolving stablecoin landscape.