EU MiCA Framework Kicks In, USDT Loses Last Regulated Footprint

The European Union's MiCA (Markets in Crypto-Assets) framework has brought about significant changes for the crypto industry, particularly for stablecoins. As of July 1, the transitional window for crypto licensing has closed, and most unlicensed exchanges have been pushed off the EU market.

USDT, the largest stablecoin with a value of approximately $175 billion, has lost its last regulated foothold in Europe. Binance, Coinbase, Kraken, and Crypto.com were among the major exchanges that pulled USDT for European users after Tether declined to seek authorization under MiCA.

The French markets regulator has taken a hard stance on unlicensed firms, warning that those serving EU customers without a license face criminal charges. Penalties include up to two years in prison and a €30,000 fine, as well as the potential for blacklisting or website blockage.