Does the delisting of Tether in Europe threaten cryptocurrency stability?
Tether, the largest stablecoin with a market capitalization of $139.28 billion, faces potential disruption as Europe tightens #cryptocurrency regulation.
cryptocurrency policy is unclear. Unlike the U. S. , where it remains unclear, Europe's Market for Cryptoassets (MiCA) requires stable cryptocurrencies such as #Tether (USDT) to have an electronic money license. Teters that fail to meet this requirement risk being delisted from European cryptocurrency exchanges by December 30, 2024.
Such an exclusion could disrupt the market, especially given Tether's integral role in cryptocurrency trading and the #USDT pair.
Tether delisting could be a serious risk to the market. The lack of liquidity combined with shaken investor confidence could lead to a broader market downturn: while Tether's dominance has somewhat recovered since March, critics say it remains vulnerable, with some calling it a ticking bomb.
Adding to the tension are recent reports that Tether stopped #mining for more than two weeks, leading to renewed speculation about its stability. Critics, including venture capitalist Jason Karkanis, have accused Tether of lacking transparency and labeled it a financial risk. Despite this, Tether's CEO called the criticism unfounded and fear-mongering and expressed confidence in the token's future.
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