EU Greenlights 10 Stablecoins—But No Love for Tether

The EU has approved 10 stablecoin issuers under MiCA regulations. A big moment for crypto oversight in the region, but no Tether (USDT).

What’s going on? USDT is the world’s largest stablecoin by marketcap, yet the EU has approved Banking Circle, Circle, http://Crypto.Com , Fiat Republic, Membrane Finance, Quantoz Payments, Schuman Financial, Societe Generale, StabIR and Stable Mint instead. These issuers now offer 10 euro-pegged and 5 US dollar-pegged stablecoins in the EU.

Tether Faces EU Delistings Despite $141 Billion Market Cap

Tether’s exclusion from the approved list has already led to several exchanges delisting USDT for EU users. The EU is prioritising compliance standards, some argue this will fragment the market.

Alongside stablecoin approvals, the EU has also authorised 11 Crypto-Asset Service Providers (CASPs) across Germany, the Netherlands and Malta. These companies can now operate trading, exchange, execution, custody and transfer services under MiCA.

Key Developments in EU Crypto Regulation:

• 10 stablecoin issuers approved under MiCA, excluding Tether.

• Exchanges begin delisting USDT for EU-based users.

• 11 CASPs authorized to operate under EU regulations.

• MiCA compliance requirements could impact market competitiveness.

Tether’s Strategic Expansion Beyond Europe

With increasing restrictions in the EU, Tether is looking elsewhere. The company has proposed to acquire 51% of a South African energy company, a move away from digital assets.

Tether has also entered sports sponsorship, partnering with Juventus to increase its mainstream presence. This fits with its strategy of integrating digital assets, AI and biotech into traditional industries.

Is MiCA Creating an Isolated Crypto Market?

Industry experts warn MiCA’s strict regulations will isolate the EU’s crypto market. Natalia Łątka, Director of Public Policy and Regulatory Affairs at Merkle Science says: “These regulations will deter foreign companies from entering the EU market. Local crypto companies might even consider moving to less regulated jurisdictions.”MiCA is meant to bring clarity and stability but critics say prioritising compliance over innovation will reduce market competitiveness. With fewer stablecoins to choose from, EU users will go to offshore platforms and the EU will not be able to regulate digital assets effectively.

The landscape will continue to shape the global crypto market.