Tether Shuts Down CNH₮ Stablecoin Due to Low Demand and Market Pressures

TheNewsCryptoPublicado a 2026-02-21Actualizado a 2026-02-21

Resumen

Tether, the largest stablecoin issuer, has announced it will discontinue its offshore Chinese yuan-pegged stablecoin, CNH₮, citing low demand and increased regulatory pressures. The company will immediately stop minting new tokens and will support redemptions for one year from the announcement date. Tether stated the token did not attract significant engagement, making it difficult to justify the operational resources required. The company will instead focus its efforts on its dominant USDT stablecoin, prioritizing markets with better growth prospects and higher adoption rates.

The largest stablecoin issuer, Tether, has said that it decided not to support its offshore Chinese Yuan-pegged Stablecoin CNH₮ because of the weaker demand compared with its other stablecoin products and tighter regulatory pressures.

According to the announcement on February 20, Tether said that it will follow a structured, transparent process, which is similar to the prior product shutdown, as it will proceed in two phases.

Firstly, Tether will immediately stop issuing new CNH₮ tokens, and then, no new tokens will be minted. Secondly, the company stated that redemption support for CNH₮ will continue for one year from the announcement date, giving holders time to redeem their tokens. Tether will issue a separate reminder notice ahead of the redemption deadline.

CNH₮ Faces Low Demand and Market Pressures

As Tether wrote, “We continuously evaluate our stablecoin offerings to ensure they align with real-world usage, long-term sustainability, and the needs of the communities that rely on them. Community interest and adoption are central to every product decision we make.”

With that, the explicit reason behind Tether’s decision is that the CNH₮, yuan-pegged stablecoin, did not attract significant engagement, making it difficult to justify the operational, engineering, and compliance resources required to maintain it at Tether’s standards.

Tether Focuses on USDT

Also, Tether said about the evolving market conditions that reduced the token’s long-term viability. In addition, Tether wrote, “Our priority is to allocate resources where they can most effectively enhance security, reliability, and innovation across the digital asset landscape,” which explains that Tether has decided to concentrate on markets with better growth prospects and higher adoption rates.
With that note, Tether will continue to focus on its stablecoin ecosystem, which is USDT. Among several stablecoins, USDT is still the dominant stablecoin with a $183 million market cap and also tops with $80.16 billion in 24-hour trading volume. As the company intends to improve its liquidity, expand its tokenization infrastructure, and support new financial tools aimed at better serving global users and developers.

Highlighted Crypto News:

‌Bitcoin ETFs See $88M Inflows, Ending Three-Day Outflow Streak

Preguntas relacionadas

QWhy did Tether decide to shut down its CNH₮ stablecoin?

ATether decided to shut down its CNH₮ stablecoin due to low demand compared to its other products and increased regulatory pressures, making it difficult to justify the operational resources required to maintain it.

QWhat is the two-phase process Tether will follow to discontinue CNH₮?

AIn the first phase, Tether will immediately stop minting new CNH₮ tokens. In the second phase, it will continue to support redemptions for one year from the announcement date (February 20).

QWhat is Tether's primary focus after discontinuing the CNH₮ stablecoin?

ATether's primary focus is on its USDT stablecoin ecosystem, aiming to improve liquidity, expand tokenization infrastructure, and support new financial tools for global users and developers.

QWhat was the market capitalization and 24-hour trading volume of USDT mentioned in the article?

AUSDT has a market capitalization of $183 million and a 24-hour trading volume of $80.16 billion, making it the dominant stablecoin.

QHow long will Tether continue to allow redemptions for the CNH₮ token?

ATether will continue to support redemptions for the CNH₮ token for one year from the announcement date (February 20) and will issue a reminder notice before the deadline.

Lecturas Relacionadas

Anthropic Starts Poaching Scientists? $27K Weekly Onsite Stipend to Fix Claude's Expert-Level Errors

Anthropic has launched a new STEM Fellow program, offering $3,800 per week for a three-month, in-person residency in San Francisco. The role targets experts from science, technology, engineering, and mathematics (STEM) fields—machine learning experience is helpful but not required. Instead, Anthropic values scientific judgment and a willingness to learn quickly. Fellows will work with Claude models and internal tools under the guidance of an Anthropic researcher. Example projects include a materials scientist identifying errors in Claude’s reasoning or a climate scientist integrating atmospheric modeling software with Claude. The goal is to have experts "tell Claude where it's wrong" and improve its scientific capabilities. This initiative is part of Anthropic’s broader strategy to strengthen its scientific ecosystem, following earlier programs like the AI Safety Fellows and AI for Science programs. The company acknowledges that current AI models, while powerful, still produce high-confidence errors and lack end-to-end research autonomy. The program aims to embed domain expertise directly into model development, turning scientists into "high-level reviewers" for AI. Anthropic CEO Dario Amodei has previously emphasized AI’s potential to accelerate scientific breakthroughs, particularly in biology and healthcare. The company believes that the next phase of AI competition will depend not on scaling parameters, but on integrating human expertise to refine model accuracy and reliability.

marsbitHace 25 min(s)

Anthropic Starts Poaching Scientists? $27K Weekly Onsite Stipend to Fix Claude's Expert-Level Errors

marsbitHace 25 min(s)

VCs Sticking to the Primary Market: How Much Money Do They Still Have?

The article discusses the current state of the cryptocurrency venture capital (VC) market, based on a debate among investors from firms like Pantera Capital, Crucible Capital, and others. Key insights reveal that while VC funds are not short on capital, there is a scarcity of high-quality investment opportunities. The discussion highlights a structural shift: early-stage funding is more dispersed and competitive, with many smaller funds active, but later-stage growth capital is highly concentrated among a few large players like Paradigm and Pantera. Data indicates that over 80% of funding in 2026 went to later rounds, but this includes "graduated" fintech projects that have entered traditional VC realms. The core issue is not the availability of money, but its distribution and accessibility—early-stage founders face intense competition for funding, while later-stage funding is gatekept by a handful of major firms. This reflects a broader trend where VCs are being more selective, prioritizing long-term, proven projects over narrative-driven investments, and founders must demonstrate substantial progress and resilience to secure capital.

Odaily星球日报Hace 28 min(s)

VCs Sticking to the Primary Market: How Much Money Do They Still Have?

Odaily星球日报Hace 28 min(s)

Little Pepe ($LILPEPE) Builds Strong Investment Case With Potential 50x–100x Returns for Early Buyers

Little Pepe ($LILPEPE) is gaining significant attention as a promising crypto project, having raised nearly $28 million in its ongoing presale. The token price is currently $0.0022 and will increase to $0.0023 in the next stage, incentivizing early investment. The project highlights a potential 50x to 100x return for early buyers, targeting prices of $0.11 to $0.22 from the current near $0.01 value, though returns depend on market conditions. Beyond being a meme coin, Little Pepe offers utility through its Ethereum-based Layer 2 blockchain, featuring zero tax trades, bot protection, staking, a meme launchpad, and DAO governance. Additional incentives include a $77,000 token giveaway for ten participants and rewards for top contributors. While high-risk, the project's strong presale performance and functional ecosystem make it an attractive opportunity for investors seeking substantial returns.

TheNewsCryptoHace 33 min(s)

Little Pepe ($LILPEPE) Builds Strong Investment Case With Potential 50x–100x Returns for Early Buyers

TheNewsCryptoHace 33 min(s)

On the Eve of X Money's Launch, Musk Dismantles the Referee First

"X Money Launches After Dismantling Regulator: Musk's 9-Day Power Play" In February 2025, a team from the "Department of Government Efficiency" (DOGE), led by Elon Musk, entered the Consumer Financial Protection Bureau (CFPB) headquarters. Shortly after, the CFPB was effectively dismantled—its funding frozen, activities suspended, and nearly 90% of staff laid off. This move came just nine days after X announced a partnership with Visa and as X Money prepared to launch. The article contrasts this with the decade-long regulatory battles faced by companies like Coinbase and PayPal. Coinbase spent over $75 million in political contributions and endured a major SEC lawsuit to operate legally. PayPal complied with strict state and federal rules for its stablecoin PYUSD, including 100% reserve requirements and monthly audits. However, Musk’s approach was different. After the CFPB introduced a rule placing large digital payment apps under federal oversight, Musk tweeted "Delete CFPB." Within months, the rule was revoked by Congress. Meanwhile, DOGE operatives gained "god-tier" access to CFPB databases, potentially obtaining sensitive competitive information from rivals like Apple, Google, and PayPal. The article also highlights a "suspicious exemption clause" in the GENIUS Act, which allows private companies like X to issue stablecoins with fewer restrictions. Senator Elizabeth Warren questioned whether Musk, who was a senior presidential advisor during the Act’s drafting, influenced this clause. X Money offers a 6% APY on deposits, despite FDIC warnings that stablecoin users are not insured. As X Money launches to 600 million monthly users, the article questions the fairness of a system where Musk can bypass regulations that others spent years and millions to comply with. The dismantling of the CFPB and the alleged regulatory advantages raise concerns about the future of equitable rule-making in the U.S. financial system.

marsbitHace 34 min(s)

On the Eve of X Money's Launch, Musk Dismantles the Referee First

marsbitHace 34 min(s)

Coinlocally Lists Tesla, Amazon, Apple, More Tokenized Stock Pairs, Launches Zero-Fee Trading Campaign

Coinlocally has expanded its trading platform by listing 10 new tokenized stock pairs, including major companies like Tesla, Amazon, Apple, NVIDIA, and Alphabet. From April 14 until May 14, 2026, users can trade these tokenized stocks—such as TSLAX, AAPLX, and AMZNX—against USDT with zero fees. The move is part of a growing trend in tokenized real-world assets, which now exceed $26 billion in on-chain value. According to COO Sam Baumann, the zero-fee campaign aims to make these products more accessible. The listings align with Coinlocally’s strategy of blending traditional market exposure with digital asset trading, offering users a seamless way to access tokenized equities within its existing ecosystem.

TheNewsCryptoHace 1 hora(s)

Trading

Spot

Futuros