Binance Stops Trading USDT and Other Stablecoins in the European Economic Area

Binance, one of the biggest cryptocurrency exchanges, has officially stopped spot trading pairs for USDT and eight other stablecoins in the EEA.

Binance, one of the largest cryptocurrency exchanges, has officially ceased trading spot pairs for USDT and eight other stablecoins in the European Economic Area (EEA). This move is part of the exchange's efforts to comply with the Markets in Crypto-Assets Regulation (MiCA), a new set of rules designed to regulate digital assets in the region.

The exchange will be delisting the following stablecoins:

* Tether (USDT)

* Dai (DAI)

* First Digital USD (FDUSD)

* TrueUSD (TUSD)

* Pax Dollar (USDP)

* Anchored Euro (AEUR)

* TerraUSD (UST)

* TerraClassicUSD (USTC)

* PAX Gold

The deadline for the delisting of non-MiCA-compliant tokens is March 31. After the deadline, users in the EEA will no longer be able to trade the affected stablecoins in spot trading pairs.

However, users can still hold and trade the stablecoins through perpetual contracts. They will also be able to trade MiCA-approved stablecoins, such as USDC or Eurite (EURI), and fiat trading options, such as the euro, will remain available as alternatives.

"In preparation for MiCA, we will be delisting tokens that do not meet the criteria set forth in the regulation and will be focusing our efforts on offering products and services that are compliant with MiCA and provide optimal value to our users in the EEA," Binance stated in a blog post.

Earlier this year, Binance notified its users about the upcoming changes and provided them with the opportunity to convert their stablecoin holdings.

"We understand that this may impact your trading activity, and we want to provide you with ample time to adjust your strategies accordingly," the exchange added.

Several other exchanges, including Kraken and Coinbase, have also delisted stablecoins in the EEA to comply with MiCA.

Kraken has delisted PayPal USD (PYUSD), Tether EURt (EURT), and TrueUSD (TUSD) stablecoins from its exchange. The exchange will continue to offer Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC) in euro and British pound sterling trading pairs.

Meanwhile, Coinbase had already delisted USDT in anticipation of MiCA's impact. A few other crypto exchanges, such as Bitpanda and eToro, continue to trade the token as they await further regulatory updates.

The removal of Tether's flagship stablecoin, USDT, could affect market liquidity in Europe, making transactions slower and increase costs for traders. Many investors are concerned about whether alternative stablecoins can provide the same level of reliability as USDT.

As the crypto industry navigates this new regulatory landscape, the focus remains on ensuring seamless transitions for traders and optimal service delivery in the European market.input: Binance, one of the biggest cryptocurrency exchanges, has officially stopped spot trading pairs for USDT and eight other stablecoins in the European Economic Area (EEA). This move is part of its efforts to comply with the Markets in Crypto-Assets Regulation (MiCA), a new set of rules designed to regulate digital assets in the region.

Binance Stopped USDT Trading in EEA

On March 3rd, the exchange has officially informed users about the planned delisting, setting a deadline of March 31 for non-MiCA-compliant tokens. Despite the removal of these trading pairs, users in the EEA can still hold and trade the affected stablecoins through perpetual contracts.

In addition to the delisting of USDT, biancne includes other stablecoins such as Dai (DAI), First Digital USD (FDUSD), TrueUSD (TUSD), Pax Dollar (USDP), Anchored Euro (AEUR), TerraUSD (UST), TerraClassicUSD (USTC), and PAX Gold.

Perhaps, Binance had told its users to convert their holdings into MiCA-approved stablecoins like USDC or Eurite (EURI). Moreover, they have the Fiat trading options, such as the euro, remaining available as alternatives.

"In preparation for MiCA, we will be delisting tokens that do not meet the criteria set forth in the regulation and will be focusing our efforts on offering products and services that are compliant with MiCA and provide optimal value to our users in the EEA," Binance stated in a blog post.

Earlier this year, Binance had notified users about the upcoming changes and provided them with the opportunity to convert their stablecoin holdings.

"We understand that this may impact your trading activity, and we want to provide you with ample time to adjust your strategies accordingly," the exchange added.

Several other exchanges, including Kraken and Coinbase, have also delisted stablecoins in the EEA to comply with MiCA.

Following the Binance foot step Kraken has also delisted USDT and other stablecoins in the EEA, to comply with MiCA. The delisted stablecoins on Kraken’s exchange include PayPal USD (PYUSD), Tether EURt (EURT), and TrueUSD (TUSD).