According to a Bloomberg report, Kraken is reconsidering Tether (USDT) support in the EU ahead of the new MiCA law. This regulation amendment will implement particular standards for stablecoins and crypto service providers in two phases by 2024's end.
Kraken is preparing for every option, including delisting USDT if it does not align with MiCA. The rule wants to cap daily transactions for major stablecoins such as USDT at 200M euros.
Tether criticizes MiCA, particularly the necessity to hold 60% of reserves in cash across different institutions. Tether's CEO raised concern about the viability of such requests in Europe.
Meanwhile, Tether urges EU clients to focus on EUR liquidity — although USDT remains a critical on-and-off ramp solution. OKX has already suspended USDT trading pairs in the European Economic Area in preparation for MiCA.
