Crypto.com has announced plans to delist the Tether (USDT) stablecoin for European customers starting in early 2025, in line with new MiCA regulations.
USDT Support Withdrawal
Crypto.com informed users of the suspension of USDT purchases via email on January 28. USDT holders have until March 31 to convert their assets into MiCA-compliant tokens. Those who do not convert manually will be automatically switched to a compliant stablecoin.
Broader Asset Delisting
In addition to USDT, Crypto.com also delists Dai (DAI), Wrapped Bitcoin (WBTC), Pax Gold (PAXG), and Pax Dollar (USDP) for European users. These changes do not affect customers outside of the EU. Crypto.com's decision follows Coinbase's earlier move to cease USDT support in Europe.
Tether’s Regulatory Challenges in Europe
Tether faces increasing regulatory scrutiny in the EU with the introduction of MiCA, which requires stablecoin issuers to maintain transparent reserves and stability. Despite this, Tether remains confident in meeting compliance and has invested in European firm StablR. However, Crypto.com's decision raises questions about whether more exchanges might follow.
The removal of USDT from the Crypto.com platform underscores the significant changes in the regulatory landscape for stablecoins in Europe. Users will need to adapt to the new environment by opting for MiCA-compliant alternatives.
