Cryptocurrency exchange Coinbase plans to delist unapproved stablecoins from its European branch by the end of the year in response to the upcoming MiCA regulations.
US-based cryptocurrency exchange Coinbase says it plans to remove all non-compliant stablecoins from European exchanges by the end of this year in an effort to comply with the European Union’s new crypto regulations. Bloomberg reported.
The crypto asset market framework, which came into effect in June for stablecoin issuers, requires companies to hold an e-money license in at least one European member state. Further regulatory guidelines for exchanges like Coinbase will go into effect from December 31st.
A Coinbase spokesperson told Bloomberg that the exchange plans to restrict services related to non-compliant stablecoins, including Tether (USDT), by December 30th. The exchange said it plans to provide an update to users in November, outlining options to convert their holdings into alternative currencies. As Circle’s USD Coin (USDC).
In early July, French blockchain analytics firm Caico said in a research note that Circle has benefited from the MiCA regulation, with the introduction of new requirements significantly increasing the stablecoin’s daily trading volume.
Still, industry leaders have expressed concerns about regulation. For example, Tether CEO Paolo Ardoino warned that strict reserve requirements could pose systemic risks for banks.
The delisting trend is not limited to stablecoins, following similar moves by Binance and OKX, with Kraken recently announcing that it will suspend trading and deposits of Monero (XMR) in the European Economic Area due to regulatory changes.
