Tether freezes stablecoins USDT and EURT on five chains! Is the EU MiCA law the main reason?
- PHPzOriginal
- 2024-07-17 10:19:04897browse
This site (120btC.coM): Tether, the leading stablecoin issuer of USDT, announced at the end of last month that it would stop issuing USDT on the public chain EOS and Algorand. It made another announcement yesterday (11th), adding The public chain that will stop service.
Tether will stop exchanging USDT and EURT on 5 chains after September next year
According to Tether’s announcement, starting from September 1, 2025, they will stop exchanging USDT and EURT on Omni, Kusama, SLP, EOS and Algorand :
“After careful consideration, Tether announced last year its decision to stop stablecoin support for Omni, Kusama and SLP. This year, we decided to stop issuing USDT on EOS and Algorand. Today we have made the following update again:
From Starting from September 1, 2025, TETHER will no longer be obliged to accept USDT and EURT exchanges on OMNI, KUSAMA, SLP, EOS and ALGORAND;
TETHER will freeze Omni, Kusama, USDT and EURT on SLP, EOS and Algorand "
Tether advises its users that if they hold USDT or EURT on the above blockchains, they should redeem their assets as soon as possible, or migrate their holdings to others. Blockchain supported by Tether, otherwise assets may be frozen by then.
What is the reason for Tether’s move?
As for the reasons for accelerating the liquidation and stopping the issuance of stablecoins on EOS and Algorand. In addition to the fact that these chains do not seem to be attractive enough to users, officials say they do not meet their requirements for security, availability, compliance, and sustainability.
With the EU's new crypto asset market law "MiCA" taking effect on June 30, Tether's largest competitor Circle announced that its U.S. dollar stablecoin USDC and euro stablecoin EURC were officially licensed by the "MiCA" law, but Tether is still There is no news of obtaining EU license, so Tether has stopped supporting USDT and EURT on these five chains this time, perhaps out of consideration for the new EU law.
Whether Tether will add or reduce support for other blockchains in the future is still uncertain, but whether Tether will cede to Circle in the European market or whether it will take new measures to deal with it is worthy of our continued attention.
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