If you’re a Binance user, there’s an important announcement for you from the company. Today around 1:30 PM IST the company is going to switch from Omni based Tether wallet addresses to ERC20 based wallet addresses. Once it has happened, the new ERC-20 based USDT tokens will be standard and users won’t be able to withdraw their Omni based USDT. However, they’ll still be able to deposit Omni based USDT by sending it to the same Omni based wallet addresses. In order to facilitate the transition there will be a 30-minutes long downtime from 1:30 PM – 2:00 PM IST, so don’t be surprised if you’re not able to deposit or withdraw your USDT tokens during this period.
The announcement in this regard came yesterday at 3:50 PM. Besides Binance Poloniex also announced the same a few hrs ago. The only difference in the approach of these companies is that while Binance has made it clear that it won’t allow the withdrawal of Omni based USDT post-transition, Poloniex will allow it to happen. But at the same time Poloniex too has made it clear that using ERC-20 based addresses is faster and cheaper than Omni-based wallet addresses.
Besides these two exchanges Huobi has also announced the support for ERC20 based Tether way back in February. Clearly, ERC20 is the way forward for Tether. Plan your trades accordingly while keeping today’s downtime in mind.