Revolut Axes Tether USDt Amid EU Stablecoin Regulations

Revolut, a digital bank serving over 65 million users, has announced it will delist Tether USDt (USDT) from its platform. The move comes after August 31st, when purchases of USDT will no longer be accepted by the company.

The decision is in line with the European Union's Markets in Crypto-Assets (MiCA) framework, which requires issuers to meet specific regulations to offer stablecoins on regulated platforms. Tether has chosen not to comply with these rules, leading Revolut to stop supporting USDT.

According to Revolut, any leftover balances of USDT will be automatically converted into the user's base fiat currency at the day's market rate after August 31st. This move affects millions of users across Europe and follows a similar decision made by other major exchanges such as Coinbase.

Tether's CEO, Paolo Ardoino, has publicly criticized MiCA's reserve rules, which he believes could create systemic risk. Despite this opposition, Revolut has chosen to comply with the regulations, forcing the delisting of USDT from its platform.