Top Global Crypto Exchange Binance Delisting Tether’s USDT and Other Stablecoins for European Customers
In a recent move, Binance, one of the leading global cryptocurrency exchanges, has announced the delisting of Tether’s USDT and other stablecoins for European customers. The decision comes as these digital assets are not compliant with the new regulations set forth in the European Economic Area (EEA).
According to the official announcement made by Binance, starting March 31st, the platform will no longer support nine stablecoins for customers in the EEA due to non-compliance with the EU’s Markets in Crypto Assets (MiCA) regulations. The affected stablecoins include USDT, FDUSD, TUSD, USDP, DAI, AEUR, UST, USTC, and PAXG.
In compliance with the latest guidance from EU authorities regarding stablecoins, Binance stated, “Following the latest guidance from EU authorities in relation to stablecoins, we are making changes to the availability of non-MiCA compliant stablecoins in the EEA to comply with regulatory requirements.”
Despite the delisting, European customers will still have the option to custody the stablecoins and carry out withdrawals or deposits on the Binance platform after March 31st.
The decision to delist non-compliant stablecoins aligns with the directive issued by the European Union’s securities regulator in January, requiring crypto firms to remove such assets by the end of the first quarter of 2025.
MiCA, the new EU legislation, aims to set rules for the supervision, consumer protection, and environmental safeguards of crypto assets. The regulatory framework seeks to combat financial crimes like market manipulation, money laundering, and terrorist financing, while also placing stablecoin issuers under the supervision of the European Banking Authority and mandating sufficient liquid reserves.
Notably, Circle’s stablecoins USDC and EURC, which are pegged to the US dollar and euro respectively, were deemed compliant with the EU laws back in July 2024.
As the cryptocurrency landscape continues to evolve, regulatory compliance remains a key focus for industry players. Binance’s decision to delist non-compliant stablecoins for European customers underscores the importance of adhering to regulatory frameworks to ensure a secure and transparent crypto ecosystem.
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