Fintech

• 21 February 2026
• |
• 19:55

Tether has announced it will discontinue support for its offshore yuan-pegged stablecoin CNH₮, marking another step in the company’s ongoing restructuring of its product lineup.

Key Takeaways

• Tether has stopped issuing new CNH₮ tokens effective immediately.
• Holders have until February 2027 to redeem their assets.
• The decision follows weak demand and a strategic refocus on higher-utility products.
• The move aligns with the ongoing liquidation of EUR₮.

The decision, revealed on February 20, 2026, initiates a formal wind-down process that will unfold over the next year.

Minting Halted Immediately

Tether has already stopped minting and issuing new CNH₮ tokens. The freeze took effect immediately following the announcement, effectively capping the token’s circulating supply.

Existing holders are not being forced into immediate action, but the company is urging users across all supported blockchains to begin redeeming their tokens as soon as possible.

Final Redemption Window Set for 2027

Investors have one year to exit their positions. The final deadline for redeeming CNH₮ is expected to close in February 2027.

Tether stated it will issue an additional reminder before the cutoff date to ensure holders do not miss the final redemption window.

Why Tether Is Pulling the Plug

The move follows what the company described as a strategic review of its digital asset offerings. According to Tether, CNH₮ failed to generate sufficient demand to justify the operational and compliance costs required to maintain the product at its usual standards.

The firm is redirecting resources toward higher-adoption products, particularly its flagship USD-backed stablecoin, USD₮, as well as newer regulated infrastructure initiatives such as USA₮.

Tether also noted that simplifying its portfolio will help streamline technical infrastructure and support its broader ambitions in asset tokenization through its Hadron platform.

Part of a Larger Cleanup

The CNH₮ phase-out mirrors Tether’s earlier decision to sunset its euro-pegged stablecoin EUR₮, which is currently undergoing liquidation ahead of a November 27, 2025 redemption deadline.

Together, these moves signal a broader pivot by Tether as it adapts to evolving regulatory pressures and shifting global demand patterns within the stablecoin sector.

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Author

Reporter at Coindoo

With over 6 years of experience in the world of financial markets and cryptocurrencies, Teodor Volkov provides in-depth analyses, up-to-date news, and strategic forecasts for investors and enthusiasts. His professionalism and sense of market trends make the information he shares reliable and valuable for everyone who wants to make informed decisions.

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