USDT Usage Declines on Legacy Networks
Tether, the issuer of the world’s largest stablecoin by market cap, has announced the discontinuation of USDT support on five older blockchain platforms. Starting September 1, 2025, redemptions and minting of USDT will no longer be available on the following networks:
- Omni Layer
- Bitcoin Cash’s Simple Ledger Protocol (SLP)
- Kusama
- EOS
- Algorand
Any remaining USDT tokens on these blockchains will be frozen on the same day.
The decision comes after two years of significantly reduced activity on these platforms. According to Tether’s official statement, these blockchains collectively represent only a small fraction of USDT’s $156 billion supply.
Strategic Focus on Layer 2 and Scalable Chains
Tether’s CEO noted that sunsetting these legacy networks will allow the company to allocate resources to more promising technologies, particularly Layer 2 solutions like the Lightning Network and scalable Layer 1 blockchains.
“Our goal is to support ecosystems that offer better scalability, developer engagement, and user adoption,” the company stated. These priorities reflect a long-term vision to grow stablecoin utility across newer and faster blockchain environments.
Ethereum and Tron Dominate USDT Supply
Currently, Ethereum and Tron host over 95% of all circulating USDT, according to blockchain data from RWA.xyz. Solana is the only other network with a notable share, accounting for just over 1% of Tether’s circulating supply.
In contrast, the five networks being discontinued carry minimal transaction volume and user engagement, prompting Tether’s shift.
Token Holders Urged to Migrate
Tether is encouraging users who still hold USDT on these five blockchains to redeem their tokens promptly or migrate them to a supported network like Ethereum, Tron, or Solana.
Users may also leverage bridging protocols or exchange transfers to move funds to active blockchains.
Support will end completely on September 1, 2025, and assets left on the unsupported networks will be frozen indefinitely.
Final Thoughts
Tether’s latest move underscores a larger trend of consolidation in blockchain infrastructure, where developer-friendly, high-throughput networks are gaining traction. As stablecoins continue to grow in adoption and use cases, focusing on scalable, high-utility platforms is crucial for long-term growth in the digital asset ecosystem.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.