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Tether plans to sunset USDT minting on two major blockchain ecosystems over a year-long transitionary period.
Stablecoin giant Tether announced its decision to shutter USDT support on Algorand and EOS within the next 12 months, citing a pivot to more community-centric networks.
An official notice on Monday said the firm plans to focus more on striking a balance between maintainability, usage, and community interest. “Our goal is to allocate resources where they can best enhance security and efficiency while continuing to support innovation across the crypto landscape,” the firm noted in its announcement.
Tether Announces Strategic Transition to Prioritize Community-Driven Blockchain Support
— Tether (@Tether_to) June 24, 2024
Read more: https://t.co/UCL1MJt2WO
Tether slashes blockchain support to 12 networks
According to the stablecoin issuer, users can still redeem USDT holdings on Algorand and EOS till next year. Tether also reserved the right to make further announcements and changes on the matter.
The native tokens of Algorand (ALGO) and EOS (EOS) slid slightly following the news as their respective daily trading volumes spiked over 100%, per CoinMarketCap data.
By far the largest U.S. dollar-pegged stablecoin on the market, USDT’s withdrawal from Algorand and EOS reduced supported networks from 14 to 12. Barring any changes to the plans, users can now only access USDT on Avalanche, Celo, Cosmos, Ethereum, Liquid Network, Near, Polkadot, Solana, Tezos, The Open Network (TON), and Tron.
The news marked the first time USDT’s issuer has discontinued its stablecoin on a decentralized network since 2023. Last August, the digital payment titan decommissioned USDT on Bitcoin, Bitcoin Cash, and Kusama.
