Tether Stops Minting USDT Stablecoin on EOS and Algorand

[hugeblack]

After thorough consideration, Tether will discontinue support for the EOS and Algorand implementations.


We will continue to support the protocols and chains that the community finds useful and encourage the community to expand the use cases of USD₮ on every protocol.


The transition will proceed as follows:


Tether will stop minting USD₮ on EOS and Algorand starting today, June 24, 2024.
Tether will continue to redeem USD₮ on EOS and Algorand as usual for the next 12 months. Further changes may be evaluated and announced around that time.

Source -----> https://tether.io/news/tether-announces-strategic-transition-to-prioritize-community-driven-blockchain-support/


Although the two blockchains do not represent a large percentage of the total supply, they may give a bad signal about investing in the Algorand and EOS blockchains.
If you have any USDT on this blockchain, it is best to quickly exchange them to another blockchain.

[pakhitheboss]

People have forgotten about EOS frankly. I do not think anyone is using these two chains for USDT transactions. The most used chain is Tron, BSC and Solana. Lately Solana has been having congestion issues while BSC is cheaper if transaction are made through the BInance exchange. USDT on Tron is fast, cheap and I personally have not encountered any congestion on that network. I am certain that Tether took this decision after seeing how unpopular these to chains have become.

[Stompix]

What took them so long?

Not the final nail but one of the last in their coffins, usage has dried out, and all that is left is trading on CEXs and a few bagholders still thinking a miracle will happen and they will recoup the losses, all based on the fact that somehow all that ICO money will be reinjected into the coin like the team is stupid enough to waste money when they know it will only be temporarily.

[MrSpasybo]

People have forgotten about EOS frankly. I do not think anyone is using these two chains for USDT transactions. The most used chain is Tron, BSC and Solana. Lately Solana has been having congestion issues while BSC is cheaper if transaction are made through the BInance exchange. USDT on Tron is fast, cheap and I personally have not encountered any congestion on that network. I am certain that Tether took this decision after seeing how unpopular these to chains have become.

I still remember the moment USDT was brought to the Eos blockchain, giving the community high expectations for the future development of the Eos ecosystem because stablecoins are an important driving force for the DeFi explosion. Unfortunately, Eos has not had any significant development in the past 2 years and is still considered a forgotten blockchain and a failed token.

Algorand was also highly anticipated in the previous bullrun, unfortunately, the inefficiency of the ALGO price has hindered the development of this ecosystem and is no longer a target for Tether either. I think the failure of these blockchains is also quite regrettable, but it will be necessary to clean up the market and focus the flow of money on truly good projects.

[Gurujebs]

Although the two blockchains do not represent a large percentage of the total supply, they may give a bad signal about investing in the Algorand and EOS blockchains.
If you have any USDT on this blockchain, it is best to quickly exchange them to another blockchain.

I'm still in disbelieve how algorand hype just died like that, there was a time that coin used to compete with other coins on Binance but it's no longer valuable by investors, I still don't know what went wrong and now Tether is pulling out the value they add to their network, I think the network will experience more decline in transaction volume.

EOS exit is justified, seems the team has not been developing anything, demand is low and since network like Ton and some other network are growing rapidly, it will make sense to deploy some USDT to where users activities are increasing.

[pakhitheboss]

I still remember the moment USDT was brought to the Eos blockchain, giving the community high expectations for the future development of the Eos ecosystem because stablecoins are an important driving force for the DeFi explosion. Unfortunately, Eos has not had any significant development in the past 2 years and is still considered a forgotten blockchain and a failed token.

I was never a fan of ALGO but when EOS was launched it had a hype at that time. The team behind it was not able to cash the hype and after so many years now investors like us have forgotten the network. I still remember that it was called an Ethereum killer because it was designed to address Ethereum's limitations. Thanks to the layer 2 solution and constant upgrades on layer 1 by the Ethereum team EOS got destroyed.

[hugeblack]

I was never a fan of ALGO but when EOS was launched it had a hype at that time. The team behind it was not able to cash the hype and after so many years now investors like us have forgotten the network. I still remember that it was called an Ethereum killer because it was designed to address Ethereum's limitations. Thanks to the layer 2 solution and constant upgrades on layer 1 by the Ethereum team EOS got destroyed.

Almost all smart contract altcoins after Ethereum try to promote themselves as Ethereum killer, but the price and good long-term growth is what makes these altcoins continue or die.

[MrSpasybo]

I was never a fan of ALGO but when EOS was launched it had a hype at that time. The team behind it was not able to cash the hype and after so many years now investors like us have forgotten the network. I still remember that it was called an Ethereum killer because it was designed to address Ethereum's limitations. Thanks to the layer 2 solution and constant upgrades on layer 1 by the Ethereum team EOS got destroyed.

Eos is a powerful blockchain that can better meet the needs of users than Solana or Fantom, however its ecosystem is barely developed due to lack of capital. BlockOne raised $4B in 2017-2018 ICO but did not invest in developing the Eos ecosystem, and Eos has had to develop itself on its own using a budget from inflation.

ENF's leadership has helped Eos make many upgrades, but most of the experiments have not yielded the results expected by the community and investors. The Eos ecosystem is still too poor and does not fully utilize the full power of this 3.0 blockchain. This could be the reason why Tether no longer wants to maintain USDT in a dead ecosystem.

[electronicash]

the Antelope Coalition hasn't helped the progress for EOS, there used to be games that make users earn tokens easy on EOS chain. i did see that Upland community still continue to work even without USDT.  i think they still have that EOSD.

tether just stop minting which means those existing USDT on EOS are still going to the there and can still be used in the network if its circulating. right?
the only people let in EOS are those who have large holdings staking their EOS where they can easily make money out of it being part of the block producer.

[MrSpasybo]

the Antelope Coalition hasn't helped the progress for EOS, there used to be games that make users earn tokens easy on EOS chain. i did see that Upland community still continue to work even without USDT.  i think they still have that EOSD.

tether just stop minting which means those existing USDT on EOS are still going to the there and can still be used in the network if its circulating. right?
the only people let in EOS are those who have large holdings staking their EOS where they can easily make money out of it being part of the block producer.

After Eos regained its independence from BlockOne, the Antelope Coalition had received high expectations from the community to connect Antelope chains and create a seamless ecosystem with Eos at the center. Unfortunately, this experiment failed, each blockchain went its own way, and no longer shared the common goal of developing a common ecosystem.

A few investors still made a profit by investing in CHEX and RAM in the Eos ecosystem, especially RAM because it is considered the first DePIN token and is being pumped very hard.

According to the announcement, Tether will stop minting and will withdraw all USDT on Eos within 12 months. Then I think Tether will remove this EOS-USDT so that it does not need to manage it anymore.

[mu_enrico]

Ah, I still remember how EOS was so popular. I used lots of their dapps, including first-time staking and on-chain gambling, etc., and then it sank; even USDT stopped operating on that chain. Luckily, I didn't put my money there.

Anyway, Tether now supports more chains, and my local exchange even supports Solana and Polygon (in addition to BSC, TRX, and ETH obviously). EOS and Algorand were never supported anywhere, as far as I can remember, so it's not a big deal.

[Stompix]

I'm still in disbelieve how algorand hype just died like that, there was a time that coin used to compete with other coins on Binance but it's no longer valuable by investors, I still don't know what went wrong and now Tether is pulling out the value they add to their network, I think the network will experience more decline in transaction volume.

It's normal
You can't have 20 coins all grabbing attention and all being the top choice!
This happens everywhere, be it sports drinks or cars, airlines or smartphones usually, there is a select few who are dominating and the rest are scaling for crumbs, in crypto once you're out of top 10 and you can't start a hype from an announcement it's the sign you're heading to the second page.

Eos is a powerful blockchain that can better meet the needs of users than Solana or Fantom, however its ecosystem is barely developed due to lack of capital.

A chain with capacity and no users is just like one of those empty cities and malls in China, it produces nothing despite being able to accommodate millions. That's the thing with crypto, in total we would have the capacity to serve twenty times the population of Earth with all the chains, in reality, well,...you see the results!

[hugeblack]

the only people let in EOS are those who have large holdings staking their EOS where they can easily make money out of it being part of the block producer.

Do you expect people to continue using token blockchain if there is no more printing, even if they do not stop and burn all the tokens, but the network will turn dead, and this has happened several times, starting with Omni Layer.

[KryptoBull]

Do you expect people to continue using token blockchain if there is no more printing, even if they do not stop and burn all the tokens, but the network will turn dead, and this has happened several times, starting with Omni Layer.

I believe the answer lies not in the inflation or deflation of the blockchain, but in its ability to generate profits for those who participate in its ecosystem. If the opportunities are attractive enough, users will still participate in DeFi, GameFi, NFT, RWA... on that blockchain. Conversely, no matter how high the inflation rewards of a blockchain are, if it has a poor ecosystem with few users, investors will generally avoid it.

A blockchain can still operate after it stops paying block rewards, as long as it can still ensure revenue for miners through user transaction fees. And investors will still buy tokens of that blockchain to profit from their price appreciation in the future.

[Manna]

Do you expect people to continue using token blockchain if there is no more printing, even if they do not stop and burn all the tokens, but the network will turn dead, and this has happened several times, starting with Omni Layer.

I believe the answer lies not in the inflation or deflation of the blockchain, but in its ability to generate profits for those who participate in its ecosystem. If the opportunities are attractive enough, users will still participate in DeFi, GameFi, NFT, RWA... on that blockchain. Conversely, no matter how high the inflation rewards of a blockchain are, if it has a poor ecosystem with few users, investors will generally avoid it.

A blockchain can still operate after it stops paying block rewards, as long as it can still ensure revenue for miners through user transaction fees. And investors will still buy tokens of that blockchain to profit from their price appreciation in the future.

Your analysis clearly shows that the success of blockchain largely depends on the strength of its ecosystem.  You rightly point out that inflation or inflation rate alone is not the ultimate indicator of blockchain adoption or sustainability.  Rather, it depends on the ability to create profitable opportunities for participants within that ecosystem. If projects in DeFi, GameFi, NFTs, RWA, or other fields are interesting enough, users will be interested in participating in that blockchain.  Even if block rewards are discontinued, a viable and profitable ecosystem can ensure that miners can earn revenue from transaction fees and investors will buy tokens in anticipation of future price appreciation.  This is a long-term and sustainable approach, which will help ensure the sustainability and scalability of blockchain.