Kraken is considering the potential delisting of Tether (USDT) from its European platform due to the newly approved Markets in Crypto Assets (MiCA) regulations. Kraken’s Global Head of Regulatory Strategy, Marcus Hughes, indicated that the exchange is preparing for various regulatory scenarios, including those that may make listing USDT untenable.
However, a Kraken spokesperson clarified that there are currently no plans to delist Tether, emphasizing the company’s commitment to compliance and its mission to promote cryptocurrency adoption.
If Kraken proceeds with delisting, it will follow OKX, which removed Tether support in Europe in March due to upcoming stablecoin regulations. The MiCA framework, approved in April 2023, imposes stricter requirements on stablecoins, with phased implementation starting mid-2024.
Tether, holding $116.76 billion (69.6%) of the USD-pegged stablecoin supply, faces scrutiny under these regulations. Tether CEO Paolo Ardoino expressed concerns about the new rules, warning of risks to EU-regulated stablecoins and advocating for stablecoins to maintain reserves in treasury bills to avoid bank failures.
Ardoino hopes for ongoing dialogue with EU regulators to ensure stablecoin security and stability.
Image Credit: Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
