Bitstamp, a popular cryptocurrency exchange, recently made the decision to delist Tether’s EURT and other non-compliant stablecoins as the European Union’s new Crypto Asset Markets regulations are set to come into effect on June 30. In light of these upcoming regulations, Bitstamp is taking steps to ensure compliance with the new rules.
The exchange will be delisting Tether’s Euro stablecoin and other fiat-backed stablecoins that are not denominated in euros and do not comply with the MiCA regulations. While these tokens will face restrictions on certain products, they will not be completely delisted from the exchange. Bitstamp will also be refraining from listing or introducing any new tokens that do not meet the MiCA compliance standards.
Bitstamp’s UK managing director, James Sullivan, stated that the exchange is directly communicating with a small portion of customers whose asset allocations have been affected by this decision. This move comes as part of Bitstamp’s efforts to ensure compliance with the new regulations and to protect its users.
Tether, the company behind the EURT stablecoin, has been working with regulatory experts to interpret the complexities of MiCA and assess the impact of the new provisions. Despite these efforts, Tether’s CEO Paolo Ardoino has stated that the company does not currently plan to seek regulation in Europe.
Bitstamp is not the only exchange taking preventive measures ahead of the MiCA regulations. Binance has announced restrictions on unauthorized stablecoins for EU users, while Coinbase has taken a wait-and-see approach. Coinbase stated that they will continue to monitor the situation and evaluate which tokens meet the new MiCA compliance standards as the new rules are implemented.
Cryptocurrency platforms, including exchanges, will need to comply with the broader MiCA provisions and licensing requirements by December 30. It is important for users to stay informed about these regulatory changes and ensure that they are trading on compliant platforms. This is not investment advice, but rather a reminder of the importance of staying informed and compliant in the rapidly evolving cryptocurrency market.
