Tether, the issuer of the USDT stablecoin, is shifting its focus to “increasing community-driven blockchain support.” As part of this strategic transition, Tether will stop supporting EOS and Algorand implementations.
Along with its commitment to maintaining a strong and innovative blockchain ecosystem, Tether declare that they are always evaluating current transport layers to balance maintainability, usability, and community benefit. This strategic move emphasizes the importance of community interest in determining USDT deployment on specific blockchains.
Security architecture and usability are said to be important factors in Tether’s evaluation process for blockchain networks. By prioritizing these aspects, Tether aims to allocate resources effectively to enhance security and efficiency while supporting innovation in the crypto landscape.
Effective immediately, Tether will stop minting USDT on EOS and Algorand, and USDT conversion on these platforms will continue for the next 12 months. This phase aims for minimal disruptive transformation.
According to data onchain, there are only 17 million USDT out of 39,000 holders on Algorand, with a reserve allocation of 18 trillion USD. Above EOS, there are 85 million USDT tokens among 32,000 holders. Compared to other chains, these values are extremely low for a $112 billion market capitalization token.
According to Tether’s announcement, the company encourages the community to expand USDT use cases across supported protocols and chains. This approach aims to leverage community input to shape the future direction of Tether’s blockchain integration, suggesting that smaller chains will likely have to find ways to connect tokens from other blockchains. chain instead of directly minting low-volume Tether. The strategic decision to discontinue support for EOS and Algorand reflects the broader goal of focusing resources on platforms that align with the public interest and deliver sustainable benefits.
Tether assures users that the transition will be carefully managed to minimize disruption, while reaffirming its mission to contribute to a sustainable and democratized financial system.
Itadori
According to Cryptoslate
