Coinbase has announced that it will end USDC rewards forholders in the European Economic Area (EEA) starting December 1. This decisionis in response to the new Markets in Crypto-Assets (MiCA) regulation
Major cryptocurrency exchange Coinbase has announced that it will no longer offer USD Coin (USDC) rewards to its customers in the European Economic Area (EEA) due to upcoming Markets in Crypto-Assets (MiCA) regulations.
Coinbase customers in the EEA will continue to earn USDC rewards until November 30. The final rewards will be distributed within the first 10 business days of December, the exchange said in an email to customers on Monday.
Coinbase's rewards program allows users to earn daily yields for holding USDC on the platform. The program is available in over 100 jurisdictions, with the annual percentage yield (APY) varying by region due to local economic and regulatory factors.
MiCA, which will come into effect from June 2023, introduces new compliance requirements for e-money tokens like USDC. Starting June 30, 2024, issuers must be licensed as credit or electronic money institutions.
These institutions must meet strict standards, including reserve management and liquidity requirements. Additionally, e-money token issuers are prohibited from offering interest, ensuring stability without being classified as financial instruments.
Coinbase also plans to delist stablecoins that do not meet MiCA requirements. Other companies, including Uphold, Bitstamp, and Tether, have also announced their intention to comply with the new regulations.
Disclaimer:info@kdj.com
The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research！
If you believe that the content used on this website infringes your copyright, please contact us immediately (info@kdj.com) and we will delete it promptly.
