Coinbase plans to remove all unauthorized stablecoins in the European Economic Area by the end of 2024 in response to the enforcement of new European Union regulatory requirements known as MiCA (Markets in Crypto Assets). This regulation requires stablecoin issuers to obtain an e-money license in at least one EU country. If issuers do not comply with these conditions, stablecoins will be subject to restriction.
Currently, the world’s largest stablecoin, Tether (USDT), does not meet these requirements and has not received the necessary authorization to operate in Europe. As a result, Coinbase will block access to unauthorized stablecoins for its users in Europe by December 31, 2024. Customers will be able to convert their stablecoins into regulator-approved alternatives such as USD Coin (USDC) from Circle. More detailed information will be provided next month.
Similar measures have already been taken by other exchanges, such as Kraken, Bitstamp, and Uphold, which have restricted the use of Tether in Europe in compliance with the new MiCA rules.
