Coinbase plans to delist all non-compliant stablecoins in the EEA by December 30, 2024 to meet new EU regulations. Users within the EEA will be able to convert non-compliant stablecoins to MiCA-approved alternative coins such as USDC by December 2024.
Coinbase announced that stablecoins that do not meet the European Union’s new Market for Cryptoassets (MiCA) regulations will be delisted by the end of 2024.
This measure is particularly relevant for the European Economic Area (EEA) and is a major step towards ensuring compliance with new rules governing digital assets across the region. For stablecoin issuers, the MiCA regulation will come into effect in June 2024. Stablecoins functioning in Europe must obtain an e-money license in an EU member state.
#coinbase Plan to delist unauthorized stablecoins including Tether $USDT By December 30th.
Coinbase wants to remove unauthorized stablecoins from its European Economic Area (EEA) platform by December 30, 2024, in accordance with new EU rules. #mica Rules. MiCA requires… pic.twitter.com/d6JHfvgKad
— Satoshi Talks (@Satoshi_Talks) October 4, 2024
Coinbase offers USDC conversion for EEA users amid MiCA compliance
This move will have a significant impact on several well-known stablecoins, especially Tether (USDT), which has not yet been approved to operate in Europe.
Coinbase offers EEA consumers the option to convert non-compliant stablecoins to MiCA-compliant alternatives, such as Circle’s USD Coin (USDC), which already meets legal standards as part of this move I plan to.
Further information will be provided to users in November 2024 to ensure seamless changes by the December 30, 2024 deadline.
Coinbase’s decision aligns with larger efforts by other crypto exchanges to prepare for MiCA regulations. Other exchanges such as OKEx and Bitstamp have already restricted access to stablecoins, including USDT, that do not meet the new rules.
MiCA strengthens control over European crypto exchanges and stablecoins
These measures are taken to ensure full compliance before the MiCA Regulation comes into force later this year. This regulation not only applies to stablecoin issuers, but also to all cryptocurrency exchanges operating in Europe. Therefore, there is a need to more rigorously ensure that the digital assets you handle comply with new legal standards.
Primarily aimed at protecting consumers and ensuring financial stability, MiCA is part of the European Union’s efforts to strengthen supervision over the growing digital asset industry.
While some stablecoins, including the well-known USDT, will be significantly affected by this development, USDC-compliant alternative coins are expected to gradually come to the forefront of the domestic market.
Coinbase also took action to bring its activities into compliance with the law. Under MiCA, Binance had previously introduced a new stablecoin named Eurite (EURI) that will be administered in August 2024.
This kind of move reveals how crypto exchanges are adapting to ever-tighter regulations, and Coinbase appears keen to ensure compliance in the European market. .
Previously, CNF reported that Coinbase revealed two additional tokens on its listing roadmap, ionet (IO) and Degen (DEGEN). Degen has profited from the memecoin phenomenon and is still expanding rapidly in the face of a more general market slowdown.
Originally offered as a prize token for the Farcaster community, the link to the shared social network gained a lot of traction.
