Binance Delists USDT and Other Stablecoins for European Users Ahead of MiCA Law Enforcement

As Europe prepares for a heavy enforcement of the Markets in Crypto Assets (MiCA) law, crypto exchanges are moving to ensure compliance.

Crypto exchange Binance is set to delist some stablecoins for European users ahead of the upcoming enforcement of the Markets in Crypto Assets (MiCA) law.

The biggest crypto exchange by market cap will delist Tether’s USDT and First Digital’s FDUSD, among other stablecoins, on March 31st. However, European users will be able to sell off these listed stablecoins using its Convert platform. A Binance representative said in a statement, “EEA users will still be able to hold and deposit non-MiCA-compliant stablecoins and will be able to convert them to MiCA-compliant stablecoins or withdraw them. However, they will not be able to use these stablecoins for any other products and services on our platform.”

The exchange will remove trading pairs with USDT, FDUSD, TUSD, USDP, DAI, AEUR, UST, USTC, and PAXG as they do not comply with MiCA regulations. Only USDC and EURI will remain, so EU users will need to convert their stablecoins into these options by March 31st to continue trading.

The exchange, however, clarified that stablecoins like USDC would remain available. Circle’s USDC is widely considered MiCA-compliant, unlike its rival, USDT. Binance has encouraged EU users to convert their USDT or any non-MiCA-compliant stablecoins to USDC or other accepted alternatives.

Meanwhile, Binance, like other exchanges, is working towards being fully compliant with EU policies. The crypto platform recently faced troubles with regulators in France. The country’s authorities accused Binance of illegal operations, as well as aiding money laundering and criminal activities.

Binance has yet to receive a MiCA license. The trading platform has already adjusted its deposit and withdrawal system in Poland to be MiCA-friendly.