Nick Chong · 21 hours ago · 2 min read
In an early-morning tweet on Oct. 29th, Tether announced that it would be performing a 300 million USDT chain swap. The conversion from the Omni protocol to ERC20 tokens will be conducted with a third-party that remains anonymous.
A chain swap is a process in which a certain entity moves a given cryptocurrency from one blockchain into another. It enables the utilization of digital assets across the various blockchains that support them.
At the moment, Tether is available on four different blockchains, including Omni, Ethereum, Tron, EOS, and Liquid. The ongoing swap is meant to move 300 million USDT from Bitcoin Omni-based addresses to Ethereum-based ones.
This is not the first time Tether conducts a major chain swap. Earlier this year, it was reported that the firm was abandoning the Bitcoin-based Omni protocol in favor of the more efficient Ethereum.
Anthony Sassano, an Ethereum developer and head of marketing at Set Protocol, pointed out in July that it was very likely that the majority of USDT in circulation will live on Ethereum instead of Omni. During that time, the number of USDT as ERC-20 on Ethereum was almost 40 percent of the total amount of USDT on Omni. Today, that number is nearly 45 percent, according to Tether’s ‘transparency’ page.