The EU's MiCA was introduced in June, but will not go into effect until December. Coinbase plans to update EU customers in November on how to convert their stablecoins to EU-compliant ones. Circle Licensed under MiCA regulations, first stablecoin issuer to receive electronic money
Cryptocurrency exchange Coinbase plans to delist stablecoins that do not meet the EU's Market for Cryptocurrency (MiCA) regulations by December 30th.
The move, aimed at customers in the European Economic Area (EEA), is part of the EU's efforts to implement stricter controls over crypto assets. The EU's cryptocurrency regulatory framework, known as MiCA, was introduced in June. However, it will take effect in December.
Under new regulations, the EU requires stablecoin issuers to hold an e-money license in at least one EU member state. The framework aims to protect European investors from fraud and risk while boosting innovation and economic competitiveness.
In a Bloomberg report, a Coinbase spokesperson said:
“In light of our compliance efforts, we plan to restrict the provision of services to EEA users related to stablecoins that do not meet MiCA requirements by December 30, 2024.”
Coinbase plans to provide an update to its EU customers in November, giving them the option to convert their stablecoins to EU-compliant stablecoins such as Circle's USDC and Eurocoin (EURC).
In July, cryptocurrency payments company Circle became the first stablecoin issuer to receive an e-money license under the EU's MiCA regulation.
Coinbase is not the only crypto exchange taking steps to meet EU requirements. Other platforms such as Bitstamp, OKX, and Uphold have already moved to restrict access to stablecoins that do not meet MiCA regulations, including Tether’s USDT.
In June, Bitstamp announced that it would remove USDT to comply with MiCA.
