tl;dr
**Tether’s U-Turn: Why It’s Letting Go of Old Blockchains—and Why Bitcoin Just Got a Boost**
Tether, the stablecoin giant behind over $80 billion in USDT tokens, has made a surprising move: abandoning plans to freeze its dollar-pegged tokens on several older blockchains. Instead, the company is r...
**Tether’s U-Turn: Why It’s Letting Go of Old Blockchains—and Why Bitcoin Just Got a Boost**
Tether, the stablecoin giant behind over $80 billion in USDT tokens, has made a surprising move: abandoning plans to freeze its dollar-pegged tokens on several older blockchains. Instead, the company is reclassifying them as “unsupported,” a compromise that avoids locking users out of their assets while signaling a strategic pivot toward Bitcoin.
**A Plan in the Crosshairs**
Back in June, Tether had announced a controversial transition: starting Sept. 1, 2025, USDT on networks like Bitcoin Cash, Kusama, EOS, and Algorand would be frozen, rendering them non-transferable. The move aimed to streamline operations by cutting off support for networks with minimal USDT activity. But the plan faced swift backlash. Developers and users on smaller ecosystems like EOS and Algorand argued that freezing tokens would effectively strand assets, leaving holders unable to access or move their funds.
**A Compromise, Not a Concession**
After weeks of pushback, Tether retreated from its hard freeze. The revised approach—labeling affected tokens as “unsupported”—allows the company to phase out low-volume chains without provoking user outrage. Users can still transfer tokens across wallets, but Tether will no longer issue or redeem USDT on those platforms. The change, Tether claims, aligns with its broader strategy while avoiding reputational damage.
**Bitcoin Takes Center Stage**
Just a day before the announcement, Tether revealed a new focus: issuing a native USDT on Bitcoin using the RGB protocol. Unlike wrapped tokens that rely on custodial bridges, RGB integrates directly with Bitcoin’s scripting and client-side validation, embedding USDT into Bitcoin’s security model. This move positions Tether to capitalize on Bitcoin’s growing dominance, where USDT is already concentrated on Ethereum and Tron—each hosting over $80 billion in circulation.
**What’s Next?**
Tether’s decision reflects a broader trend: consolidating resources on high-adoption networks while leaving behind legacy chains. For users, it’s a reminder that the crypto space is evolving rapidly. As Tether tightens its grip on Bitcoin, the question remains: Will this shift reshape the future of stablecoins—or just another chapter in their ongoing quest for relevance?