Tether Reverses Course on Five Blockchain Sunsetting Plans

Stablecoin issuer Tether has walked back its earlier directive to halt USDT operations across Omni Layer, Bitcoin Cash SLP, Kusama, EOS, and Algorand. Instead of enforcing a complete freeze, the company will allow existing tokens to remain transferable while ceasing new issuance and redemption capabilities on these networks.

The reversal came after substantial pushback from these blockchain communities. Rather than implementing the originally planned September 1 shutdown date, Tether refined its approach by permitting users to continue moving their USDT holdings across these chains, maintaining a degree of liquidity despite the restricted support status.

What Changed for Users

Users holding USDT on the affected blockchains—Omni, Bitcoin Cash SLP, Kusama, EOS, and Algorand—will no longer be able to mint new tokens directly or convert USDT back to fiat through Tether’s redemption channels on these networks. However, peer-to-peer transfers between wallets will continue functioning normally, preserving utility for existing holders.

Tether emphasized that these tokens would “no longer be officially supported as other Tether tokens,” effectively demoting their status while avoiding the catastrophic scenario of complete immobilization. This distinction matters for cross-chain DeFi participants who may utilize USDT across various blockchain ecosystems, including those exploring USDT to ADA conversion routes and multi-chain liquidity strategies.

Why This Matters

The decision reflects a critical balance between Tether’s operational consolidation and user protection. By stopping new issuance rather than freezing transfers, Tether prevents stranded capital while gradually reducing its presence on lower-priority networks. This approach preserves the optionality for users to exit these ecosystems organically, maintaining the core utility that makes USDT essential across decentralized finance platforms.