The EU could lose crypto investors due to the delisting of USDT Tether
European Union rules on cryptocurrencies, which are set to come into effect at the end of the year, are already changing the stablecoin market, and the delisting of USDT from Tether could lead to an outflow of crypto investors.
The new rules require that all stablecoins listed on centralized exchanges be issued by an organization with an electronic money license.
Issuers must hold up to two-thirds of the reserves backing their tokens in an independent bank and track all transactions made for payment purposes.
To comply with this requirement, several exchanges in the EU have already delisted USDT from Tether, the most popular stablecoin in the world. The token must be removed from regulated platforms by December 30 if Tether does not obtain the necessary license.
In July, the main competitor to Tether — Circle — received such authorization. Tether has not yet obtained it, although it does not rule out attempting to do so in the future. Tether does not comment on its plans for the electronic money license.
