Tether Ends Support for Euro-Backed Stablecoin, Shifts Focus to MiCA-Compliant Tokens

USDT issuer Tether has announced that it will discontinue its euro-pegged stablecoin, EURT.

The company revealed that it halted the minting of EURT in 2022, and holders have until November 27, 2025, to redeem their tokens. This decision aligns with Tether’s broader effort to reassess its product offerings in light of evolving regulatory demands.

In a recent blog post, Tether confirmed that it would cease supporting EURT, offering token holders a redemption period until late 2025. The company clarified that no new EURT coins would be minted, as production ceased two years ago. This shift is part of Tether’s strategy to prioritize products that comply with regulatory frameworks, especially in light of new global standards.

Several crypto exchanges are already adjusting their listings to comply with European Union regulations, such as MiCA (Markets in Crypto-Assets). For instance, Bitstamp, which had been an early adopter of EURT, plans to delist the coin by June 2024. Other platforms like OKX and Uphold have already removed EURT and Tether’s USDT from their European markets, with Coinbase also planning to delist non-compliant stablecoins by the end of 2024.

Tether is now focusing on developing stablecoins that align with the EU’s MiCA regulations. As part of this strategic pivot, the company is launching two new stablecoins: EURQ and USDQ. These tokens are designed to offer a more compliant and secure option for users in Europe. EURQ and USDQ are set to be issued in collaboration with Quantoz Payments, a fintech company based in the Netherlands, and will be managed on the Hadron platform, which integrates compliance features to streamline the creation of tokenized assets.

The shift to MiCA-compliant stablecoins highlights Tether’s commitment to adapting to the changing regulatory landscape, ensuring that its products remain reliable and secure while positioning itself as a strong player in the global stablecoin market.