Tether has decided to cease freezing USDT on Omni, BCH SLP, Kusama, EOS, Algorand, and various other legacy chains. Consequently, these assets will be deemed “unsupported,” entering a financial void without any official issuance or redemption processes.
Summary
- Tether cancels its planned USDT freeze on legacy blockchains, including Omni, BCH SLP, Kusama, EOS, and Algorand.
- Tokens on these networks change to “unsupported,” allowing transfers but with no official issuance or redemption.
- The adjustment was made in response to community input and aligns with Tether’s overarching strategy focusing on active, in-demand chains.
On August 29, USDT issuer Tether revealed a crucial update to its transition plan for legacy blockchains. Initially, the company intended to freeze USDT tokens and stop redemptions on networks including Omni Layer, Bitcoin Cash SLP, Kusama, EOS, and Algorand effective September 1, 2025.
In response to significant user feedback, Tether decided against the freeze but will discontinue official issuance and redemption instead. This places tokens on these networks in an “unsupported” status, where wallet transfers are still permitted, but the assets lack the same backing or operational support as USDT on active chains.
“Users will still be able to transfer the tokens between wallets, but Tether will cease direct issuance and redemption on these blockchains. This implies that the tokens will not receive the same official support as other Tether tokens,” stated the USDT issuer.
A strategic pivot, not a retreat
Tether’s choice to reverse the freeze indicates that feedback from developers and users on networks like EOS and Algorand showcased a reputational risk that surpassed the technical ease of a clean break.
This revised strategy, which Tether claims “aligns with its broader approach,” represents a practical compromise. It allows the company to reduce the operational burden of supporting low-traffic chains without facing the public relations catastrophe of effectively nullifying user assets.
However, while the issuer reduces its support on one end, it is vigorously expanding on another. Just a day before this announcement, Tether disclosed plans for a native USDT launch on Bitcoin using the RGB protocol.
This initiative can be interpreted as Tether’s strategic wager on Bitcoin’s inherent security. Unlike wrapped assets on bridges, which pose counterparty risks, RGB utilizes Bitcoin’s scripting and client-side validation to integrate USDT directly into the Bitcoin ecosystem.
Tether already distributes the stablecoin across Ethereum and Tron, each boasting over $80 billion in circulation, and also on smaller platforms such as Solana, Avalanche, Celo, and Cosmos.
