Billion

<ul>
 <li>Kraken is reportedly “actively reviewing” strategies to meet the requirements of MiCA law.</li>
 <li>Tether’s chief executive officer Paolo Ardoino has spoken out against European rule.</li>
</ul>
In light of the impending implementation of the Markets in Crypto-Assets Regulation (MiCA) in the European Union, cryptocurrency exchange Kraken is contemplating the removal of support for the stablecoin <a href="https://thenewscrypto.com/tether-mints-1-billion-in-usdt-pushing-market-cap-above-110b/" target="_blank" rel="noopener noreferrer nofollow">Tether</a> (USDT).
Kraken is reportedly “actively reviewing” strategies to meet the requirements of the forthcoming <a href="https://www.esma.europa.eu/esmas-activities/digital-finance-and-innovation/markets-crypto-assets-regulation-mica" target="_blank" rel="noopener noreferrer nofollow">MiCA</a> framework, as reported by Bloomberg on May 17. Stablecoins (asset-referenced, or ARTs) and e-money tokens (EMTs) will be subject to the regulations on June 30, 2024, while crypto service providers will be subject to the regulations on December 30, 2024. The regulation will be implemented in two parts.
Marcus Hughes, Kraken’s global head of regulatory strategy stated:
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
 “We’re absolutely planning for all eventualities, including situations where it’s just not tenable to list specific tokens such as USDT. It’s something that we’re actively reviewing, and as the position becomes clearer, we can take firm decisions on that.”
</blockquote>
<h3 class="wp-block-heading" id="h-stringent-compliance-norms">Stringent Compliance Norms</h3>
Moreover, purportedly retaliating against Kraken, Tether said that exchanges should prioritize EUR liquidity for European consumers and keep <a href="https://thenewscrypto.com/tether-mints-1-billion-in-usdt-pushing-market-cap-above-110b/" target="_blank" rel="noopener noreferrer nofollow">USDT</a> as an on-ramp off-ramp solution.
Although the term “stablecoin” is not used in the MiCA law, the European Banking Authority (EBA) has criteria to determine if ARTs or EMTs are important stablecoins. There is a daily cap of 200 million euros on bigger stablecoin transactions, such as USDT.
Tether’s chief executive officer <a href="https://uk.linkedin.com/in/prdn" target="_blank" rel="noopener noreferrer nofollow">Paolo Ardoino</a> has spoken out against the European rule, stating that his business has no plans to comply with MiCA. Ardonio specifically brought up the need for several institutions to hold 60% of stablecoin reserves in cash.
Highlighted Crypto News Today:
<a href="https://thenewscrypto.com/tether-mints-1-billion-in-usdt-pushing-market-cap-above-110b/" target="_blank" rel="noopener noreferrer nofollow">Tether Mints $1 Billion in USDT, Pushing Market Cap Above $110B</a>

Kraken Reviews Dropping USDT in Europe as MiCA Regulations Loom

Table of Contents

TheNewsCrypto

Other articles published on May 17, 2024

Bitcoin Surpasses Key Resistance Levels

Velar Launches First PerpDex on Bitcoin in Collaboration with Bitlayer

Diamond Paws (DIAPAWS) Explodes 700% Before Consolidating, While Shiba Inu and Dogecoin Lag

Top Crypto Gainers Today May 17 – Chainlink, Sui Crypto, Conflux, Fantom

FOMO Strikes as BRISE Coin Climbs 7%

Best Crypto to Buy Now May 17 – Avalanche, Cardano, Sui

Join our free newsletter for daily crypto updates!