Tether Phasing Out USDT on Five Blockchains, Including Omni and Algorand

Andrew Chen
Tether (USDT)

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Key Takeaways

  • Tether will shut down USDT operations on Omni, SLP, Kusama, EOS, and Algorand by September 2025.
  • The move follows a strategic shift toward high-usage blockchains like Ethereum and Tron.
  • Users must redeem USDT on the affected chains before the cutoff to avoid frozen assets.

Tether, the issuer behind the world’s largest stablecoin USDT, has announced that it will officially discontinue operations on five blockchain networks starting September 1, 2025. The affected blockchains include Omni Layer, Bitcoin Cash SLP, Kusama, EOS, and Algorand, according to a recent post by Wu Blockchain on X (formerly Twitter).

This strategic move aligns with Tether’s internal review focused on blockchain usage, developer engagement, and infrastructure viability, as the company pivots toward more scalable and active ecosystems.

Realigning Resources to High-Performance Networks

Tether CEO Paolo Ardoino stated that the shutdown reflects a long-term plan to optimize the company’s operational efficiency. The decision was based on declining usage and minimal developer activity across the affected chains. Ardoino emphasized that Tether’s goal is to concentrate efforts on platforms with strong community support and scalability.

Previously, Tether halted new USDT minting on Omni, Kusama, and Bitcoin Cash SLP in August 2023. EOS and Algorand followed in June 2024, with no further issuance planned. The final step will freeze all USDT on these blockchains and end redemption capabilities.

Omni and Bitcoin Cash SLP Face Sunset

Omni Layer, Tether’s original launch platform, is one of the most notable closures. While it historically issued over $888 million in USDT, only $82.9 million remains active. Omni has seen a dramatic decline in transaction volumes amid competition from newer Layer 2 networks.

Similarly, Bitcoin Cash SLP experienced a steep drop-off. Total historical USDT issuance reached $5 million, yet only $986,500 remains. Tether cited a lack of developer momentum and practical usage on the chain.

Kusama, EOS, and Algorand Fall Short of Viability

Tether’s operations on Kusama are being phased out due to dwindling demand, with just $240,000 in USDT still circulating from a total of $3.5 million. Once a vibrant testnet for Polkadot, Kusama no longer meets Tether’s operational benchmarks.

Meanwhile, EOS and Algorand report similarly weak activity. EOS holds just $4.2 million of the originally issued $85 million, and Algorand’s USDT has dropped below $1 million, as USDC dominates stablecoin use on the chain. Algorand users had already been given a year to redeem after issuance stopped in 2023.

Also Read: Tether Secures $8B in Gold with Private Swiss Vault to Boost XAUT and Cut Custody Costs

Going forward, Tether is doubling down on Ethereum and Tron, which together support the bulk of USDT’s $139.4 billion market cap. The company is also exploring deeper integration with Layer 2 solutions to improve scalability and performance.

Tether has urged users to complete USDT redemptions on affected chains before September 1, 2025, after which all assets will be frozen.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

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