Tether Destroys $2.5 Billion USDT, Largest Scale Since February

On July 7, Tether Treasury destroyed $2.5 billion USDT on the Ethereum network, marking the largest scale since the destruction of $3.5 billion on February 10 this year, surpassing the $2 billion destroyed on May 8. Meanwhile, the USDT balance moving in and out of Binance via the Tron network has dropped to approximately $860 million, the lowest since December 29, 2025, and has fallen below the $1 billion mark for the first time, indicating a significant contraction in USDT liquidity on Binance's Tron channel. Analysts suggest that the large-scale destruction may reflect redemptions, treasury management, or cross-chain rebalancing rather than a direct market signal, but the combination of Ethereum supply contraction and the simultaneous decline in Binance's Tron liquidity is worth noting.