To comply with upcoming EU regulations, Bitstamp has announced it will delist Tether's EURT stablecoin and other euro-backed stablecoins that fail to meet the new MiCA requirements take effect on June 30.
According to DL News, the regulations, aimed at increasing transparency and security in the crypto market, mandate that stablecoin issuers must implement strict safeguarding measures and fully back their tokens with liquid reserves.
Tether, one of the largest stablecoin providers, has acknowledged these challenges, with a spokesperson stating the company is actively interpreting MiCA’s provisions to understand their full impact. However, Tether CEO Paolo Ardoino has indicated that the company does not plan to seek regulation in Europe "for the moment".
Bitstamp's decision to delist non-compliant stablecoins is part of a broader trend among crypto exchanges preparing for MiCA’s implementation. Earlier, Binance has also announced restrictions on unauthorized stablecoins for EU users, while Coinbase is monitoring the situation to ensure compliance.
These proactive measures highlight the significant impact MiCA will have on the operations of crypto exchanges and the availability of stablecoins within the EU market.
According to James Sullivan, UK Managing Director for Bitstamp, the exchange is "communicating directly with the small proportion of clients whose asset mixes are affected". The exchange, which is in the process of being acquired by Robinhood, emphasizes its commitment to adhering to regulatory requirements to maintain trust and transparency.
The regulatory clarity provided by MiCA could serve as a model for other regions, potentially leading to more widespread adoption of similar frameworks.
See also: Binance.US to cease operations in Washington State
