MiCA regulations effective from December 30, 2024, challenge USDT by potentially leading to its delisting from European exchanges. These regulations require extensive transparency and reserve reporting, which USDT does not currently adhere to.
Despite facing regulatory challenges, USDT maintains a stable market capitalization of 138.7 billion USD and its price remains close to its peg at 0.9981 USD. This stability highlights USDT’s resilience despite possible delisting and the need for MiCA compliance.
To address regulatory requirements, Tether invests in StablR, a European stablecoin provider. This strategic investment aims to secure compliance with MiCA rules, allowing Tether to retain its market presence in Europe despite increasing regulatory pressures.