USDC

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<p dir="ltr">In a bid to comply with EU Markets in Crypto Assets (MiCA) regulation, American cryptocurrency exchange Coinbase has hinted at plans to delist some stablecoins. According to a&nbsp;<a href="https://www.bloomberg.com/news/articles/2024-10-04/coinbase-to-delist-non-compliant-stablecoins-in-eu-in-december" rel="noopener noreferrer nofollow">Bloomberg report</a>, these noncompliant stablecoins will only be available through the exchange in the European Economic Area until the end of this year.&nbsp;</p>
<h2 id="mica-regulation-compels-coinbase-to-delist-stablecoins">MiCA regulation compels Coinbase to delist stablecoins&nbsp;</h2>
<p dir="ltr">The&nbsp;<a href="https://u.today/eu-takes-major-step-in-crypto-regulation-with-mica-legislation" rel="noopener noreferrer nofollow">full implementation&nbsp;of MiCA</a> is coming soon, and the regulation's strict oversight will prevent Coinbase from having these stablecoins on its platform.&nbsp;</p>
<p dir="ltr">A company spokesperson said that the move is part of Coinbase's global commitment to ensuring regulatory compliance. The U.S.-based trading platform has yet to officially identify a stablecoin it plans to oust.</p>
<p dir="ltr">However, it is worth noting that Tether still needs to comply with MiCA. Paolo Ardoino, the CEO of the USDT issuer, once raised concerns that the newly introduced regulation poses a systemic risk to both stablecoins and the broader banking system. His reservations towards the EU rule have deterred USDT from gaining the required authorization.&nbsp;</p>
<p dir="ltr">The MiCA regulation mandates that at least 60% of reserves backing stablecoins must be held in EU bank accounts.&nbsp;Ardoino pointed out that EU cash deposits are insured for only up to $100,000. In his opinion, this amount is inadequate for large stablecoin issuers like Tether. Also, stablecoins available in the EEA must hold an e-money license in at least one EU member state.</p>
<p dir="ltr">Hence, USDT will likely be removed from the Coinbase platform and replaced by rivals like Circle’s USDC and EURC.&nbsp;</p>
<h2 id="circle-okx-bitstamp-comply-with-mica-regulation">Circle, OKX, Bitstamp comply with MiCA regulation&nbsp;</h2>
<p dir="ltr">On the other hand, Circle was one of the&nbsp;first stablecoin issuers to comply&nbsp;with MiCA’s regulatory requirements. Therefore, affected users in the Coinbase delisting process can convert their assets to authorized stablecoins like Circle's USDC.&nbsp;</p>
<p dir="ltr">OKX, Bitstamp and Uphold have equally moved to remove noncompliant stablecoins from their platforms. With Ripple Labs pushing for&nbsp;<a href="https://u.today/ripple-forced-to-create-eur-stablecoin-community-member-shares-his-take" rel="noopener noreferrer nofollow">RLUSD stablecoin</a>, it might also gain a fair market share in the EU if it gains the needed compliance.</p>

Coinbase Might Delist These Stablecoins, Here's Reason

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