Tether has announced the discontinuation of its CNH₮ stablecoin, pegged to China's offshore yuan, due to low demand and limited adoption. The company will halt new minting immediately and end redemptions in one year. Resources will shift to more widely used stablecoins like USDT.
Tether, a leading issuer of stablecoins, revealed on February 21, 2026, that it will wind down support for CNH₮, its token backed by the offshore Chinese yuan. The decision stems from insufficient usage levels that no longer warrant the operational resources needed to maintain the product at the company's standards.
The sunset process unfolds in two phases. Immediately, Tether has stopped all new issuances of CNH₮, ensuring no additional tokens enter circulation. Holders on supported blockchains are urged to redeem their tokens promptly, with full redemption support available under the terms of service until the deadline. One year from the announcement, on February 21, 2027, Tether will cease redemption services entirely, preceded by a reminder notice to users.
This approach mirrors previous discontinuations by Tether, providing a structured transition to allow holders time to exit without market disruptions. CNH₮ was introduced as part of Tether's lineup of fiat-pegged stablecoins, distinct from the onshore yuan used in mainland China and aimed at international traders.
Moving forward, Tether plans to redirect efforts toward stablecoins demonstrating strong organic adoption and long-term viability. This includes enhancing liquidity for core products, expanding tokenization infrastructure, and developing tools for global users and developers. USDT remains Tether's flagship, holding a market capitalization of about $185 billion.
The company, headquartered in El Salvador with operations in Switzerland, has grown its workforce to 300 employees and intends to hire another 150, primarily engineers, over the next 18 months.
