Tether to end support for yuan-pegged stablecoin CNH₮, citing "lack of demand"

Tether, the world’s largest stablecoin issuer, will fully discontinue support for CNH₮, a stablecoin pegged to the offshore Chinese yuan.

On the 20th (local time), Tether said in an official statement that it had decided to end support for CNH₮ after considering “changing market conditions, low interest in the product, and limited demand compared with other assets,” adding that “current CNH₮ usage does not justify the operational support costs required to maintain the asset.”

The wind-down will proceed in two stages. First, effective today, Tether has immediately halted all new issuance of CNH₮. No additional CNH₮ tokens will be minted going forward. Then, one year from the announcement date, Tether will also officially end redemption support for CNH₮. Tether said it will issue a separate notice to users before the redemption deadline arrives.

Tether advised that “all customers currently holding CNH₮ on the blockchain are encouraged to redeem their holdings as soon as possible before the deadline,” adding that “until the deadline, the redemption process will proceed as normal in accordance with Tether’s existing terms of service.”

Going forward, Tether plans to concentrate its resources on core stablecoins and infrastructure with strong, organic market adoption and high long-term utility. Through this, it aims to enhance core liquidity and expand tokenization infrastructure, focusing on supporting financial tools that provide practical benefits to users worldwide.