Coinbase prepares to delist Tether’s USDT stablecoin in Europe

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Coinbase, one of the largest crypto exchanges in the world, has announced that it is taking a significant step in Europe. Starting December 13, 2024, Tether’s USDT and five other stablecoins will be removed from Coinbase ‘s European platforms.

This decision results from the stricter rules of the Markets in Crypto-Assets Regulation (MiCA), which has been in force since June 2024 and will be fully implemented at the end of December.

Which stablecoins will be removed?

In addition to Tether (USDT), this affects the stablecoins PAX, PYUSD, GUSD, GYEN and DAI. However, Coinbase will continue to support USDC and EURC as they comply with MiCA requirements.

What is MiCA?

MiCA is a European Union (EU) legal framework that aims to regulate and unify the crypto market. It focuses on protecting users from risks such as fraud and market manipulation, while providing businesses with clear guidelines.

Stablecoins must provide full transparency under MiCA about the assets that back their value. In addition, MiCA aims to encourage innovation, create a level playing field across EU member states and increase trust in the crypto market. The ultimate goal is better integration of cryptocurrencies into traditional financial systems.

Criticism from Tether

Tether has been critical of Coinbase’s decision, calling the move “premature.” A Tether spokesperson said the company is already working on new MiCA-compliant stablecoins such as EURq and USDq, which are being developed in collaboration with Dutch fintech company Quantoz Payments.

Coinbase’s reaction

Coinbase stresses that the offering is regularly reviewed to meet regulatory requirements. Although USDT accounts for a large portion of trading volumes on the platform, the exchange is open to reintroducing stablecoins once they meet MiCA requirements.

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Margharet Tess

Editor, Developer at Cryptheory Labs

I have been active in the cryptocurrency world for over 6 years, during which I have written countless articles about this sector. What fascinates me most about cryptocurrencies is their technological aspect and the problems they aim to solve. In the past three years, I have ventured into app development and am currently working on a larger project called P2E Buzzer. Stay tuned for the surprise. 🙂 My previous experiences: Business2Community.com, TradingPlatforms.com

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