Crypto.com will delist Tether’s USD-pegged stablecoin, USDT, along with nine other tokens, to comply with the European Union’s Markets in Crypto-Assets Regulation (MiCA) framework, CoinTelegraph reported today (Wednesday).
In addition to USDT, the nine tokens that will be delisted on Crypto.com are Wrapped Bitcoin, Dai, Pax Dollar (PAX), Pax Gold, PayPal USD, Crypto.com Staked ETH (CDCETH), Crypto.com Staked SOL (CDCSOL), Liquid CRO (LCRO), and XSGD.
Only MiCA-Compliant Stablecoins Are Allowed
The move comes days after the crypto exchange secured a license in Malta, making the island its base for MiCA compliance.
The report outlined that Crypto.com will suspend deposits of USDT and the other nine tokens on 31 January. Withdrawals will be disabled, and the tokens will be fully delisted at the end of Q1 2025, on 31 March.
“Users holding these tokens will have until 31 March to convert them to MiCA-compliant assets; otherwise, they will be automatically converted to a compliant stablecoin or an asset of corresponding market value,” a Crypto.com representative told the publication.
MiCA Reshaping Crypto in the EU
The EU fully implemented MiCA at the end of 2024. While it first introduced rules covering stablecoins in mid-2024, regulations for transactions took effect at the end of the year.
The European Securities and Markets Authority (ESMA) recently urged crypto asset service providers (CASPs) to take immediate action by 31 January to restrict or delist stablecoins that do not meet MiCA standards.
Meanwhile, other crypto exchanges, including Coinbase and Binance, are reviewing their strategies regarding stablecoins.
Many crypto exchanges have also established an EU base to comply with MiCA requirements. Apart from Crypto.com, Gemini has also chosen Malta as its EU hub. Under the MiCA framework, licensed exchanges can "passport" their licenses, allowing them to offer crypto services across the European Economic Area.
This article was written by Arnab Shome at www.financemagnates.com.
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