Binance to Delist Stablecoins in Europe

Binance to delist stablecoins in Europe by June 2024 due to new EU crypto regulations. MiCA bill introduces $216M cap on stablecoins.

Sep 22, 2023 - 13:24
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Binance to Delist Stablecoins in Europe
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Binance announced its plans to delist stablecoins in Europe by June 2024; this is influenced by the European Union's new crypto regulations.

Binance, one of the world's leading cryptocurrency exchanges, made headlines when Marina Parthuisot, the head of legal at Binance France, revealed the company's intention to delist all stablecoins in Europe by June 30, 2024. This announcement came in light of the Markets in Crypto Assets (MiCA) bill, a new regulatory law by the European Union. The MiCA bill, which was finalized in June, is set to introduce provisions regarding stablecoins in June 2024.

Parthuisot pointed out that the delisting of stablecoins could significantly impact the European market compared to the rest of the world. Elizabeth Noble, a team leader for MiCA at the European Banking Authority (EBA), emphasized that there would be no transitional arrangements for these types of tokens, and the rules would be applicable from the end of June 2024.

The MiCA bill is the European Union's first attempt to set rules for the cryptocurrency world. This law wants to make it easier for crypto businesses, like exchanges and wallet services, to work throughout the EU with just one permit. One of the notable aspects of the MiCA regulations is the cap imposed on stablecoins. Under MiCA, there will be a $216 million cap on stablecoins, which includes popular tokens like Tether (USDT) and USD Coin (USDC).

Binance CEO, Changpeng Zhao "CZ", took it to X offering clarity on the matter saying that it "was taken out of context". Contrary to the initial reports, CZ mentioned that Binance has partners launching EUR and other stablecoins in Europe. He also stated that:

"We're already preparing and will be ready. Exciting opportunities ahead for compliant businesses in Europe."

It's worth noting that Binance has previously reconsidered its decisions regarding asset delisting. For instance, in June, Binance reversed its decision to delist privacy coins in Europe, following revisions to its operations to align with EU standards and feedback from the community.

European countries and companies are adjusting their strategies and operations to align with the new standards as well. For example, France updated its crypto licensing regime in August to synchronize with MiCA.

Philip Bohmer Philip is a seasoned journalist that brings clarity to the complex world of cryptocurrencies through his articulate and insightful articles. His passion for blockchain technology fuels his writing, making him a trusted voice in the rapidly evolving digital currency landscape.