Tether has announced that it will stop redemptions on five blockchains as of September 1, 2025. The affected networks are Omni Layer, Bitcoin Cash SLP, Kusama, EOS (now Vaulta), and Algorand.
The action is in line with Tether’s plan to simplify operations and focus resources on scalable platforms with the highest developer activity and user adoption, according to CEO Paolo Ardoino.
Layed-off Legacy Chains Graded Sub-Proportionately
Tether’s migration is in stages. It stopped issuing on Omni Layer, Kusama, and Bitcoin Cash SLP in August 2023 and ceased minting USDT on EOS and Algorand in June 2024. Redemptions on these chains will technically close in September 2025.
A snapshot of outstanding USDt on the deprecated chains shows relatively low usage:
- Omni Layer: $82.9 million
- Bitcoin Cash SLP: $986,500
- Kusama: $240,000
- EOS: $4.2 million
- Algorand: $841,600
These numbers stand in stark contrast to USDT’s overall market capitalization of $139.4 billion, demonstrating the small proportion of the total held on the impacted chains.
Algorand Users Not Likely to Be Affected
As the third-most-popular stablecoin on Algorand, the phasing out of USDT is not likely to cause any disruption to the ecosystem. The Algorand Foundation says that users were notified one year ago and had sufficient time for redemptions.
“In this same year, we’ve only seen our stablecoin volumes grow,” the Foundation noted, indicating that alternatives like USD Coin (USDC) have gained traction. USDC holds nearly $73 million more in market cap than USDT on Algorand.
Strategy Pivot Toward Active Platforms
Tether stated that some blockchains, especially Omni Layer, were sunset due to declining use. The company is now prioritizing blockchains with active development, scalability, and stronger communities.
This step tracks general industry trends in which stablecoin issuers look for efficient, popular networks to optimize liquidity and reduce operating drag.
