Tether abandons plan to freeze USDT on legacy crypto networks, classifies them ‘unsupported’
Tether abandoned plans to freeze its dollar-pegged USDT tokens on several older blockchains and is choosing instead to classify them as “unsupported,” according to an Aug. 29 statement.
The change applies to networks such as Bitcoin Cash, Kusama, EOS, and Algorand, among others. Users will still be able to move tokens across wallets, but Tether will no longer issue or redeem USDT on those platforms.
The shift came after weeks of community pushback over the company’s original plan, which would have locked tokens in place and left them non-transferable.
‘Unsupported’ classification
In June, Tether had outlined a transition that would begin Sept. 1, 2025, with all USDT on the affected blockchains frozen and excluded from redemptions.
The move was framed as a way to streamline operations by cutting off support for networks that accounted for a negligible share of the stablecoin’s activity. Under that plan, tokens would have remained visible on-chain but effectively stranded without any movement or redemption path.
Following sustained criticism from developers and users on smaller ecosystems like EOS and Algorand, Tether retreated from a hard freeze. The firm said the revised approach “aligns with its broader strategy” while avoiding reputational damage.
The compromise allows Tether to wind down low-volume chains without provoking backlash from users who would have been locked out of their assets.
Pivot toward Bitcoin
The announcement came just one day after Tether disclosed plans to issue a native USDT on Bitcoin using the RGB protocol.
Unlike wrapped tokens that rely on custodial bridges, RGB integrates directly with Bitcoin’s scripting and client-side validation, making USDT part of the Bitcoin ecosystem’s security model.
USDT remains most heavily concentrated on Ethereum and Tron, each with more than $80 billion in circulation, alongside smaller footprints on Solana and a few other networks.
The decision to drop support for legacy chains signals tightening resources on platforms with higher adoption while staking new ground on Bitcoin.
The post Tether abandons plan to freeze USDT on legacy crypto networks, classifies them ‘unsupported’ appeared first on CryptoSlate.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
US September CPI Preview: High Oil Prices Expected to Push Up Overall Inflation, Moderate Core Inflation May Ease Urgency for Rate Hikes
Driven by rising gasoline and food prices, U.S. consumer prices are likely to surge significantly in September.
Inflation remains high! ECB Governing Council member warns: Another rate hike may be necessary, but timing remains uncertain
Pierre Wunsch, a member of the ECB Governing Council and Governor of the National Bank of Belgium, stated that the European Central Bank may need to further raise interest rates.
Will Bitmine outperform expected crypto bull market after acquiring another 12,532 ETH?
The Reserve Bank of India’s Efforts to Save the Rupee Deplete Reserves: $50 Billion Plunge in Forex Holdings, $200 Billion Forward Dollar Liabilities Become a Ticking Time Bomb
Foreign investors have made net sales of $31 billion in Indian stocks this year, and administrative controls are accelerating hedging demand towards the offshore NDF market, with the effectiveness of interventions continuously diminishing. The most critical risk lies in the fact that the yield spread between Indian and US 10-year government bonds has sharply dropped from 600 basis points in 2013 to just 200 basis points, with the traditional interest rate defense line nearly breached. India faces a dilemma: persisting on the current path will exhaust policy space, while relying on rate hikes to rebuild the yield spread would directly stifle economic growth.
Crypto prices
More
