According to ChainCatcher, according to Cointelegraph, Tether CEO Paolo Ardoino said that the European Union's recently approved Crypto Asset Market Regulation (MiCA) poses not only a threat to stablecoins, but also a systemic risk to the entire banking system.
In an interview, Ardoino pointed out that MiCA requires at least 60% of stablecoin reserves to be held in EU bank accounts, a regulation that may increase systemic risks. He emphasized that banks use a partial reserve system, which makes them vulnerable to runs, and mentioned the collapse of Silicon Valley Bank in 2023 as a warning, believing that this regulation may have an adverse impact on large-scale stablecoin issuers.