Kraken to Delist Tether in Europe Amid MiCA Regulations

Crypto exchange Kraken has announced its intention to delist Tether (USDT) and four other stablecoins in the European Economic Area (EEA) ahead of the implementation of the Markets in Crypto-Assets (MiCA) regulations. The delisting process will commence on February 13, 2025, with full removal of the stablecoins by March 31, 2025.

Kraken's decision follows a series of regulatory pressures in Europe, with the MiCA framework introducing stricter rules for stablecoin issuers and exchanges. The exchange, which operates in several European countries, is adjusting its services to ensure compliance with these new regulations. Users are encouraged to convert their affected holdings before the deadline to avoid automatic conversions.

Kraken is not the first major exchange to take such steps. Coinbase and Crypto.com have also announced plans to phase out support for USDT in Europe. While Tether faces regulatory challenges in Europe, the company continues to thrive globally, reporting a record-breaking $13 billion in net profits in 2024. Additionally, El Salvador recently welcomed Tether's expansion, allowing the company to set up its headquarters in the country. Despite losing ground in the European market, Tether's dominance in the crypto space remains strong.