Citing adherence to the European Union’s Markets in Crypto-Assets (MiCA) rules, crypto exchange platform Crypto.com has announced its decision to delist Tether’s USDT and nine more tokens in Europe. Beginning on January 31, the delisting process will restrict token purchases and deposits, thereby limiting access.
Users will still be able to withdraw their interests until the end of March 2025 following the first suspension. After this date, the market value will determine the conversion of any remaining assets into MiCA-compliant stablecoins or equivalents.
Tokens Under Affected by Delisting
Crypto.com is also deleting Wrapped Bitcoin (WBTC), Dai (DAI), and Pax Dollar in addition to USDT.
Driving the Choice: Regulatory Compliance
The action responds to a rule from the European Securities and Markets Authority (ESMA), which requires that by January 31, stablecoins that do not satisfy MiCA’s compliance criteria be limited by crypto service providers. Crypto.com is among the first exchanges to respond to this legislation, with others likely to follow suit.
Because Tether’s USDT, the biggest stablecoin by market capitalization, does not follow MiCA rules, it has been especially under close examination. ESMA has underlined that exchanges have to totally remove non-compliant coins, including restricting their availability for sale.
Changing the European Crypto Landscape
Full implementation of MiCA in late 2024 brought tight rules on other crypto assets, including stablecoins. Many exchanges are thereby changing their products to fit the new structure. Already licensed in Malta, Crypto.com positions itself to keep running within MiCA’s guidelines.
In view of these legislative developments, several big exchanges, including Coinbase and Binance, are also changing their stablecoin policies. The changing scene points to a European crypto sector headed toward more stringent control and regulatory conformance.
Users of Crypto.com are advised to convert or remove their impacted assets before the March 31 cut to prevent automatic conversions into MiCA-compliant alternatives when the deadline gets near.
