Coinbase, the leading American digital asset trading platform, is halting its USDC yield services in Europe, succumbing to the pressure of new EU MiCA regulations. Meanwhile, American regulators are also cautiously looking at cryptocurrency yield products.

The cryptocurrency exchange confirmed that the service will be terminated for all its customers in the European Economic Area (EEA) on December 1. This decision affects Coinbase users in EU member states, as well as Iceland, Norway, and Liechtenstein. According to an email, all users of the USDC yield program will continue to receive rewards until November 30.

Paul Berg, CEO of crypto infrastructure provider Sablier, expressed his disappointment with the changes, attributing them to the recently introduced MiCA rules. He sarcastically said that he is "very grateful to the EU" for protecting him from "earning income from my USDC assets on Coinbase."