Tether has announced the cessation of support for its stablecoin on five blockchain networks that it considers outdated, which are:

Omni Layer, Bitcoin Cash SLP, Kusama, EOS, and Algorand

This will take effect from September 1st.

According to the announcement made on July 11, redemption operations will cease, and the remaining digital tokens on these networks will be permanently frozen.

This decision is part of a strategy the company described as improving infrastructure, which aims to keep up with changes in user behavior and direct resources towards more efficient networks in terms of performance and scalability.

This move is a continuation of a gradual withdrawal process that began in 2023 when the company halted the minting of coins on the network:

Bitcoin Cash, Kusama, and Omni Layer

Then later on Algorand and EOS, the latter is now known as Vaulta.

Despite halting issuance on these networks, Tether continued to allow the redemption of the traded coins on them until recently.

With the new decision, this phase will be completely closed.

Paolo Ardoino, the CEO of Tether, clarified that this move represents a necessary step to keep pace with the rapid developments in the digital asset ecosystem. He added:

Halting support for these old networks allows us to focus on more advanced infrastructures, which have greater scalability and activity at the community and developer levels, fundamental components for enhancing the global adoption of stablecoins.

The company noted that the excluded networks were essential in the early stages of USDT's expansion, but they have seen a significant decline in usage and trading volume in recent years.

However, USDT still retains its position as the largest stablecoin in the market, with a market cap of nearly $160 billion.

As part of future trends, Tether intends to strengthen its support for emerging layer two networks, such as the Lightning Network, alongside high-performance blockchain networks, aiming to improve transaction speed, interoperability, and expand the adoption of stablecoins.

Tether advised users holding USDT on the affected networks to withdraw or request to transfer it to supported networks before the deadline.

Users who cannot directly benefit from Tether's services may also resort to third-party service providers.

The company confirmed its commitment to expanding new integrations to improve the infrastructure for USDT and meet the evolving demands of the global market.

$USDT

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