New York, Saturday, October 5, 2024- Coinbase Global Inc. has announced plans to delist stablecoins that fail to comply with the European Union’s upcoming regulations by the end of this year. The move targets popular i tokens such as Tether’s USDT, following the EU’s finalization of its Markets in Crypto-Assets (MiCA) framework. MiCA regulations, which took effect in June for stablecoin issuers, require companies to hold e-money authorization in at least one EU member state.
Starting December 31, crypto exchanges and service providers in the European Economic Area must ensure they fully comply with MiCA guidelines, or face delistings and potential sanctions. For Coinbase, this means that stablecoins that have not secured the necessary authorization will be removed from its European platform. The changes come as part of broader efforts by the EU to regulate the booming cryptocurrency industry and protect consumers from financial risks tied to digital assets.
Coinbase is expected to provide further updates on which stablecoins will be affected by the delisting in November. Investors and users of USDT and other stablecoins are advised to monitor the situation closely, as they could face disruptions in using these tokens for transactions or trading.
The MiCA regulations are part of a larger effort by the European Union to establish a clear legal framework for cryptocurrencies. The introduction of these rules is aimed at fostering greater transparency and accountability within the sector, especially for stablecoins that are widely used across financial markets.
