Tether has deserted plans to freeze dollar-covered USDT tokens on a number of older blockchains, and as a substitute selected to categorise them as “unsupported” in keeping with a press release on August 29.
This modification applies particularly to networks equivalent to Bitcoin Money, Kusama, EOS, and Algorand. Customers can nonetheless transfer tokens throughout their wallets, however Tethers will now not concern or redeem USDTs on these platforms.
The shift got here after weeks of neighborhood pushbacks to the corporate’s authentic plans.
“Unsupported” classification
In June, Tether outlined the transition that started on September 1, 2025, with all USDTs on the affected blockchain frozen and excluded from redemption.
The transfer was framed as a strategy to streamline operations by blocking help for networks that account for negligible shares of Stablecoin exercise. Beneath that plan, the token remained seen within the chain, however was successfully left behind with out motion or crimson pathways.
Following sustained criticism from builders and customers of small ecosystems like EO and Algorand, Tether has retreated from a fierce freeze. The corporate mentioned the revised method was “coordinated with a broader technique,” avoiding reputational harm.
A compromise permits tethers to shave off the low capability chain with out inflicting a rebound from customers who have been trapped from their property.
Pivoting in direction of Bitcoin
The announcement comes someday after Tether disclosed its plans to concern native USDT to Bitcoin utilizing the RGB protocol.
In contrast to wrapped tokens that depend on Custodial Bridges, RGB integrates straight with Bitcoin scripting and client-side validation, with USDT changing into a part of the Bitcoin Ecosystem safety mannequin.
USDT is most concentrated in Ethereum and Tron, every with over $80 billion in circulation, along with the low footprint of Solana and several other different networks.
The choice to drop help for legacy chains exhibits that it’ll tighten sources on platforms with larger adoption, setting new floor in Bitcoin.
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