• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Stablecoins in Peril: Crypto Exchanges Make Changes

user avatar

by Giorgi Kostiuk

2 years ago

Some crypto exchanges are planning to remove stablecoins due to new regulations, sparking concern among investors.

What are Stablecoins?

Stablecoins are digital assets tied to the value of fiat money, typically the US dollar. They offer a mix of fiat currency stability and cryptocurrency features, making them popular among users.

Removing Stablecoins from Exchanges

Decentralized exchanges, like Coinbase, plan to remove stablecoins from their offerings. Coinbase will not sell stablecoins in the EU starting January 1, 2025.

Given our commitment to compliance, we intend to restrict the provision of services to EEA users in connection with stablecoins that do not meet the MiCA requirements by December 30, 2024.Coinbase

EU Regulations and Their Impact

The EU has introduced MiCA, a comprehensive regulatory framework limiting stablecoin trade unless certain conditions are met. Companies like Circle have adapted, whereas others, like Tether, face challenges.

Tether commends EU regulators for their efforts in establishing a structured framework, as it plays a key role in fostering growth within the sector. However, as we have consistently expressed, some aspects of MiCA make the operation of EU-licensed stablecoins more complex and potentially introduce new risks to both local banking infrastructure and stablecoins themselves.Tether

The decision by exchanges to drop stablecoins is driven by new regulations. Initially affecting specific platforms, its wider impact is anticipated as other exchanges adopt similar policies.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Ripple CEO Announces No Plans for Immediate IPO

chest

Ripple CEO Brad Garlinghouse confirmed that the company has no immediate plans to go public, focusing instead on institutional adoption.

user avatarLucas Weissmann

Blockchain.com Confidentially Files for US IPO

chest

Blockchain.com has confidentially filed for a US IPO with the SEC, starting the process to go public alongside other crypto firms.

user avatarFilippo Romano

South Korean Crypto Tax Petition Gains Momentum

chest

A petition to abolish the crypto taxation framework in South Korea has gained significant traction, surpassing 53,000 signatures as of May 21, 2023.

user avatarTomas Novak

Grayscale Confirms GHYP Ticker for Hyperliquid ETF

chest

Grayscale has submitted an amendment to its HYPE ETF application, confirming the GHYP ticker for its upcoming Hyperliquid ETF.

user avatarEmily Carter

OKX to Introduce New Perpetual Futures Linked to Brent and WTI Crude

chest

OKX plans to launch new perpetual futures contracts linked to Brent and WTI Crude in collaboration with ICE, aiming to bridge traditional finance with digital trading.

user avatarKaterina Papadopoulou

HYPE as a Leading Indicator for Altcoin Momentum

chest

HYPE is viewed as a key indicator for altcoin momentum, signaling a return of risk appetite in digital assets.

user avatarMaya Lundqvist

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.