According to PANews, the EU crypto asset law will take effect at the end of the year, and many exchanges have removed USDT from their listings. This move has affected the market, with new issuers filling the gap and investors defaulting to trading in euros.
The new rules are designed to strengthen supervision and prevent crimes such as money laundering. Blockchain experts say USDT is often used for crimes, but executives warn that MiCA could lead to a drying up of market liquidity and weaken the attractiveness of the European Union.
Tether competitor Circle has obtained a license, but Tether has not yet obtained one. Unlicensed exchanges must remove USDT by December 30. Tether declined to comment on its plans for an electronic money license.