Coinbase to restrict noncompliant stablecoins

[examplens]

Coinbase has announced compliance with the European Union's MiCA (Markets in Crypto-Assets) regulation. This means delisting such assets in the European Economic Area (EEA) by December 30, 2024. This regulation directly affects Tether’s USDT which is not EU-compliant, unless they make the necessary adjustments.
Coinbase will use this regulation to force USDC, which is already adapted to MiCA, i.e. has the necessary authorizations.

by the way. As of June 30, 2024, stablecoin issuers in the EU must have electronic money authorization in at least one member state.

https://cointelegraph.com/news/coinbase-delist-non-compliant-stablecoins-mica?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound

[dkbit98]

They are slowly cooking the frog...
I am not surprised to hear this at all, but people don't need to use this centralized exchanges and all their approved crap.
Next year 2025 is going to challenging with more crypto restrictions, I also heard few days ago that some crypto friendly casinos are introducing mandatory KYC from 2025.

[PX-Z]

...This means delisting such assets in the European Economic Area (EEA) by December 30, 2024. This regulation directly affects Tether’s USDT which is not EU-compliant, unless they make the necessary adjustments.
Coinbase will use this regulation to force USDC, which is already adapted to MiCA, i.e. has the necessary authorizations.

EU will really do it's thing and supposed to when it comes to centralization in all EU. Next time they will probably ban all unregulated coins will be imposed to that area.

[JISAN]

They are slowly cooking the frog...
I am not surprised to hear this at all, but people don't need to use this centralized exchanges and all their approved crap.
Next year 2025 is going to challenging with more crypto restrictions, I also heard few days ago that some crypto friendly casinos are introducing mandatory KYC from 2025.

Earlier almost all exchanges including binance allowed to use exchange platform without kyc but now almost all exchanges have made kyc verification mandatory.  And casino sites are also gradually making KYC verification mandatory due to which almost everything is now heavily sandalized. So it seems to move towards DEX now. Because sometimes we have to do a lot of work keeping ourselves secret.  In that case Sandalize Platforms will not allow us to maintain privacy. USDC still does a good scramble but we are not too sick of it. So USDT is definitely what we need.

[KryptoBull]

Coinbase has announced compliance with the European Union's MiCA (Markets in Crypto-Assets) regulation. This means delisting such assets in the European Economic Area (EEA) by December 30, 2024. This regulation directly affects Tether’s USDT which is not EU-compliant, unless they make the necessary adjustments.
Coinbase will use this regulation to force USDC, which is already adapted to MiCA, i.e. has the necessary authorizations.

by the way. As of June 30, 2024, stablecoin issuers in the EU must have electronic money authorization in at least one member state.

Coinbase has thrived for years due to its strict adherence to regulations and cautious strategy. While USDC may not be as well-known as USDT, it is permitted to operate and trade in numerous countries and territories. The EU has introduced MiCA, but many other stablecoins cannot continue to exist there, meaning they will not benefit from the massive influx of capital in the EU market.

The head start in regulatory compliance will be a major driving force for USDC to solidify its global popularity. I foresee a fierce competition between USDC and USDT for market share, cap, and profitability.

[Goldlife]

The new MiCA regulations of the European Union pay special attention to stability issues. Under MiCA, there are specific rules for crypto-assets, and all issueers need to meet specific conditions for managing the EUmarket. By 30 June 2024 Stablecoin issueers in the European Union must have electronic money approval in at least one member state. It will be helpful to protect the EU’s stabilcoin market and make it more reliable and secure for users.

[hugeblack]

I think Coinbase will be happy with these decisions as it gives more access to USDC which means its market value will increase compared to USDT and will be more attractive. In 2022, not many expected the MiCA legislation to be passed but it seems that the market is more ready to accept regulations and identity disclosure.

[ABCbits]

I thought the MiCA regulation only affect privacy XMR, since Kraken plan to delist XMR in EAA. But the impact is much bigger than i expect. Now i wonder whether 3 months is enough for Tether and other company which create stablecoin to obtain e-money license.

[examplens]

I thought the MiCA regulation only affect privacy XMR, since Kraken plan to delist XMR in EAA. But the impact is much bigger than i expect. Now i wonder whether 3 months is enough for Tether and other company which create stablecoin to obtain e-money license.

If I remember correctly, Robinhood previously bought Bitstamp and the primary reason for such a purchase was the EU licenses that Bitstamp had. I expect a similar scenario when it comes to Tether, I believe that they will not just give up the EU market and leave it to Circle.

[KryptoBull]

I thought the MiCA regulation only affect privacy XMR, since Kraken plan to delist XMR in EAA. But the impact is much bigger than i expect. Now i wonder whether 3 months is enough for Tether and other company which create stablecoin to obtain e-money license.

MiCA is a crypto revolution in the EU, but unfortunately, it still has many unclear and difficult-to-implement aspects. The withdrawal of many stablecoin issuers like Tether is a clear example of this, and I don't think that's good for the development of the crypto market in the EU when liquidity will struggle to remain healthy with only USDC existing.

Clearly, the biggest beneficiaries of MiCA so far are Circle and Coinbase. They have almost achieved a monopoly on stablecoins in a vast and wealthy market. I personally don't like this, I hope that MiCA will be updated in the future to create opportunities for other stablecoins like USDT.

[bitmover]

I thought the MiCA regulation only affect privacy XMR, since Kraken plan to delist XMR in EAA. But the impact is much bigger than i expect. Now i wonder whether 3 months is enough for Tether and other company which create stablecoin to obtain e-money license.

If I remember correctly, Robinhood previously bought Bitstamp and the primary reason for such a purchase was the EU licenses that Bitstamp had. I expect a similar scenario when it comes to Tether, I believe that they will not just give up the EU market and leave it to Circle.

Tether is so big. They will find a way, probably they will become complaint with the EU regulations.

On the other hand, it would be nice to very a great variety of stablecoins, as Tether is really very big and it would be nice if some others new stablecoins take a share of its marketcap.

In general, I am in favor of regulations in stable coins. Because those stable coins issuers are basically banks, they need to be highly regulated so they do not run away with our money.

[dkbit98]

EU will really do it's thing and supposed to when it comes to centralization in all EU. Next time they will probably ban all unregulated coins will be imposed to that area.

EU is probably going to collapse soon, so they are going to have more crazy laws, bans and regulations.
This is all for protection of citizen, because they care so much about common folk

Tether is so big. They will find a way, probably they will become complaint with the EU regulations.

It is possible if they bribe and pay enough politicians and people in EU administration.

[bitterguy28]

Coinbase has announced compliance with the European Union's MiCA (Markets in Crypto-Assets) regulation. This means delisting such assets in the European Economic Area (EEA) by December 30, 2024. This regulation directly affects Tether’s USDT which is not EU-compliant, unless they make the necessary adjustments.

do we think that tether would adhere to such policies? they still have a few months to comply, that is they want to coinbase is a huge platform and it would be such a shame to lose their users in some parts of europe

i do not think tether would agree to be unusable by some parts of the world it has been a very significant stablecoin everywhere so i do think they might just comply and agree on something

[ABCbits]

I thought the MiCA regulation only affect privacy XMR, since Kraken plan to delist XMR in EAA. But the impact is much bigger than i expect. Now i wonder whether 3 months is enough for Tether and other company which create stablecoin to obtain e-money license.

MiCA is a crypto revolution in the EU, but unfortunately, it still has many unclear and difficult-to-implement aspects.

Regulating market and protecting EU citizen are fine goal. But i can't say it's a crypto revolution, when it also effectively ban privacy coins and erode EU citizen's privacy.

I thought the MiCA regulation only affect privacy XMR, since Kraken plan to delist XMR in EAA. But the impact is much bigger than i expect. Now i wonder whether 3 months is enough for Tether and other company which create stablecoin to obtain e-money license.

If I remember correctly, Robinhood previously bought Bitstamp and the primary reason for such a purchase was the EU licenses that Bitstamp had. I expect a similar scenario when it comes to Tether, I believe that they will not just give up the EU market and leave it to Circle.

Good point. I just searched about it and found out their blog posts which mention over 50 license owned by Bitstamp[1-2].

[1] https://blog.bitstamp.net/post/robinhood-to-acquire-bitstamp/
[2] https://investors.robinhood.com/pressreleases/news-details/2024/Robinhood-to-Acquire-Bitstamp/default.aspx

[Crwth]

It's a good thing Coinbase is doing this, IMO, because it will really improve the experience for users who are experiencing problems. Is this a recurrence of USDT's problems?