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Join Telegram ChannelDigital currency exchange Coinbase plans to remove all stablecoins that do not have the necessary approval from the European Union from its listings by the end of the calendar year.
This move is in line with the EU's new “Markets in Crypto Assets Regulation” (MiCA) regulations.
Coinbase Exchange to Remove Stablecoins like USDT
In this regard, Coinbase has announced that stablecoin-related services that do not comply with MiCA will be restricted to users in the European Economic Area (EEA) until December 30, 2024.
According to data from CoinGecko, Coinbase is the second largest digital currency exchange after Bybit and, like other companies, strives to comply with MiCA regulations.
Regulations regarding stablecoins came into effect on June 30. Under these regulations, stablecoin issuers must obtain an electronic money license in one of the EU countries.
So far, many stablecoins have not succeeded in obtaining this license. Circle, the second largest stablecoin issuer, received the EU's first “Electronic Money Issuing Institution” license in July, but Tether, the largest stablecoin issuer, has not yet obtained this license.
Tether has expressed support for the EU's efforts to create the MiCA framework, stating that this framework poses particular complexities for stablecoins in the region.
Tether also announced that it is developing a technological solution to overcome this challenge, designed specifically for the European market, which will be presented soon.
In November, Coinbase will provide more details about its plans and offer customers in the European Economic Area the option to use approved stablecoins such as USD Coin (USDC) and Euro Coin (EURC).