#2024WithBinance
Problems with USDT in Europe: why crypto exchanges are restricting the Tether stablecoin
Why Coinbase (NASDAQ:COIN) doesn’t like USDT
Coinbase is a trading platform and commercial company that tries to make money. It is not all-powerful and tries to operate within a specific legal framework in different jurisdictions. Simply put, Coinbase is required to comply with the laws of the countries where it operates.
In the European Union (EU), there is a set of rules that regulates cryptocurrency circulation — Markets in Crypto-Assets Regulation (MiCA). It imposes a number of requirements on stablecoins. USDT, like some other cryptocurrencies, does not meet these requirements. To avoid problems with European authorities, Coinbase is delisting the Tether stablecoin for customers in the Eurozone. Users from other regions of the world can continue to use the coin; the changes will not affect them.
But what exactly is wrong with Tether? And why is it specifically Coinbase that is delisting it? Does USDT comply with MiCA regulations on other crypto exchanges?