According to PANews, Tether CEO Paolo Ardoino has expressed concerns that the European Union's recently approved Markets in Crypto-Assets (MiCA) regulation poses a systemic risk not only to stablecoins but also to the entire banking system. In an interview, Ardoino highlighted that MiCA mandates at least 60% of stablecoin reserves to be held in EU bank accounts, a requirement he believes could increase systemic risk. He pointed out that banks operate on a fractional reserve system, making them susceptible to bank runs. Ardoino referenced the 2023 collapse of Silicon Valley Bank as a cautionary example, suggesting that this regulation could adversely affect large-scale stablecoin issuers.