Tether Criticizes MiCA Regulations Amid USDT Delistings by Exchanges
Tether, the issuer of the USDT stablecoin, is facing challenges in Europe following the EU's implementation of the Markets in Crypto Assets (MiCA) regulation by December. Key developments include:
- Crypto exchanges, including Crypto.com and Coinbase, are delisting USDT and other tokens to comply with MiCA.
- Tether criticized these actions as "rushed," highlighting potential risks for EU customers and the broader crypto market.
- The regulatory changes may create a "disorderly" market environment during MiCA's early implementation.
- Circle's USDC has gained traction in Europe due to its compliance with MiCA, increasing its market cap by $8 billion recently, while Tether's USDT remains stable at $140 billion.
- Tether acknowledges the EU's regulatory efforts and is working on compliance strategies, including new technologies and projects aimed at aligning with MiCA.
Overall, Tether's position in Europe is being challenged as it navigates regulatory hurdles and competition from compliant alternatives like USDC.