Binance is aligning with the EU's crypto-assets regulation (MiCA) by discontinuing USDT trading pairs in the European Economic Area (EEA). This move reflects Binance's commitment to regulatory compliance and adaptation to evolving crypto standards.
As European regulators tighten their grip on the cryptocurrency market, Binance, the world’s largest cryptocurrency platform, has taken steps to align with the new regulations. The platform has removed spot trading pairs using the Tether USDT stablecoin for users in the European Economic Area (EEA).
This decision comes after the implementation of the European Union’s Markets in Crypto-Assets (MiCA) regulation, which aims to regulate the cryptocurrency sector. Although Tether USDT is one of the most popular stablecoins, it is not yet deemed “MiCA-compliant” by European authorities. Consequently, Binance had to remove this trading pair from its offering in the region.
Despite this withdrawal, EEA users can still hold and trade Tether USDT through perpetual contracts on the Binance platform. This move allows European investors to continue accessing this highly liquid asset while complying with the new regulations.
Other crypto exchanges, such as Kraken, have also removed spot trading pairs involving Tether USDT for European users. However, the option to hold and trade these tokens through perpetual contracts seems to be a compromise solution adopted by several industry players.
This development is part of a broader movement in the crypto industry to comply with existing regulations while preserving investors’ access to the most liquid assets as much as possible. As legal frameworks evolve, key industry players will need to navigate with agility to offer innovative crypto services while staying compliant.
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Gaston has been a writer for over 7 years and a passionate cryptocurrency enthusiast since 2020. He loves exploring the crypto ecosystem and is now dedicated to sharing his insights and discoveries through InvestX.
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