Coinbase Will Delist Unauthorized Stablecoins in EU to Comply with MiCA

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Coinbase has announced its plans to remove any unauthorized stablecoins from its platform in the European Union (EU) by December. This move is in compliance with the EU’s Markets in Crypto Assets (MiCA) rules.

Coinbase stated: “Given our dedication to adhering to regulatory requirements, we intend to limit our services to EEA (European Economic Area) users for stablecoins that do not meet the MiCA standards by December 30, 2024.”

Coinbase is one of many companies striving to become compliant with the EU’s MiCA rules. These rules require firms to be authorized in at least one EU country.

The rules for stablecoins went into effect on June 30, and now require stablecoin issuers to obtain an e-money license in an EU member state in order to operate within the 27 nation bloc.

However, not all stablecoin issuers have been successful in obtaining the necessary licenses in the EU.

In July, Circle became the first global issuer to secure an Electronic Money Institution license in the region. Tether, the largest stablecoin issuer, currently does not have an e-money license in the EU.

Tether has commended the EU for its efforts in establishing a structured framework through MiCA, but has noted that it also introduces complexities for stablecoins operating in the region.