The delisting procedure begins on February 13, 2025, and will end on March 31, 2025. The stablecoins affected are as follows, PayPal USD, Euro Tether, TrueUSD, and TerraClassicUSD.
Cryptocurrency exchange Kraken has announced that it will be delisting five stablecoins, including Tether’s USDT, from its European platform in order to comply with the Markets in Crypto Assets (MiCA) regulations. The exchange will begin the delisting process on February 13, and it will be completed by March 31, 2025.
The stablecoins that will be delisted, in addition to USDT, are PayPal USD, Euro Tether, TrueUSD, and TerraClassicUSD. Starting February 13, the exchange will set the margin trading modes for these assets to reduce-only, which will allow users to close out existing trades but will not permit them to open any new trades.
By February 27, trading will shift to sell-only, and the exchange will stop generating new deposit addresses for the affected stablecoins. Spot trading will be completely halted on March 24, and the exchange will convert any remaining stablecoin balances into another asset by March 31.
The European Securities and Markets Authority (ESMA) has requested that exchanges wind down support for non-compliant stablecoins in order to prevent market distortion. Several other major exchanges, including Crypto.com and Coinbase, are also taking steps to phase out USDT and other such assets.
Crypto.com will stop supporting ten stablecoins by January 31, 2025, while Coinbase has already delisted eight tokens. Notably, the exchange is set to delist USDT by December 2024.
Tether’s Chief Technology Officer Paolo Ardoino has criticized the stringent regulatory framework in Europe, arguing that it will hamper the development of stablecoins and limit retail access to the cryptocurrency market.
The new MiCA framework will also introduce reporting requirements for crypto transaction accounts and the correction of errors within 30 days from April 2026.
Furthermore, any crypto assets identified during tax audits that are not reported will be considered income as of February 2025. Kraken and other platforms are adjusting their policies to remain compliant and accessible to their European users ahead of the MiCA deadline. Affected users are advised to exchange their stablecoin balances before the automatic exchanges are implemented.
