Tether has been having a challenging day due to increasing prints recently. The Trump administration announced that only “legal and legitimate” stabilcoins will be accepted. Lastly, Crypto.com announced that he would delist USDT in Europe.
Crypto.com makes USDT crazy from Europe
Crypto.com has announced that some stabilcoins, including USDT to adapt to crypto asset markets (Mis) regulations that come into force in Europe, have announced. As of January 31, users will no longer be able to make USDT deposit or purchase. However, the shooting process will continue until 31 March.
Mica arrangements require strict compliance with the rules of money laundering (AML). Crypto.com’s madness, such as USDT, as well as other digital assets, such as Paypal USD and Paxdols, gave up question marks on the future of stabilcoin use in the European market.
Why do mica arrangements have a problem for Tether?
Mica was adopted in 2023 as a framework that regulates crypto assets, stock exchanges and stabilcoin exporters throughout the European Union and entered into force in 2024. The regulations require that stabilcoin exporters to fully support their reserves and to separate these reserves separately in order to protect investors.
Tether has great concerns about Mica compatibility, as he has avoided control for years and has come to the agenda with his deficiencies in transparency. Stock exchanges and wallet providers in Europe think that it may be risky to continue working with Tether in order to comply with Mica requirements. Tether’s name in the money laundering investigations and refusal to enter an independent control is among the main reasons why the stock exchanges want to interrupt their relations with USDT.
Can Tether ban in the USA?
Although the stabilcoin arrangements of the Trump administration have not yet become fully clarified, the President’s executive order issued in January will be taken into consideration of “legal and legitimate” dollar -supported stabilcoins.
Although Tether is allegedly supported by dollar reserves, it seems difficult to gain “legal” status, given the problems with the US authorities in the past and the conflicts with the regulators. If US stock exchanges and wallet providers disable USDT, a major fluctuation may be experienced in the crypto markets.
