Binance’s Tether Tango: A Comedic Dance with MiCA Regulations! 💃😂

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In a whimsical twist of fate, Binance, that grand bazaar of digital currencies, has decided to bid adieu to the spot trading pairs with Tether’s USDt within the European Economic Area (EEA). This, dear reader, is all in the name of compliance with the illustrious Markets in Crypto-Assets Regulation (MiCA), a regulation that sounds more like a fancy cocktail than a legal framework.

Our beloved cryptocurrency exchange, Binance, has taken the bold step of delisting several non-MiCA-compliant tokens in the EEA, a move that was as predictable as a cat’s disdain for water, as revealed by the ever-watchful CryptoMoon in early March.

Fear not, intrepid traders! While the spot trading pairs for tokens like USDt (USDT) have vanished into the ether, users in the EEA can still cradle these tokens in their digital wallets and engage in the thrilling world of perpetual contracts. Who knew compliance could be so… flexible? 😏

According to Binance’s previous proclamations, the delisting of these non-MiCA-compliant tokens was to be completed by March 31, aligning perfectly with a local requirement that seems to have been pulled from a bureaucratic hat trick, ensuring that such tokens would be gone by the end of the first quarter of 2025. 🎩✨

Delistings on Other Exchanges in EEA

But wait! Binance is not the only player in this grand game of musical chairs. Other exchanges, such as Kraken, have also joined the fray, delisting spot trading pairs for tokens like USDT in the EEA after announcing their plans in February. It’s a veritable delisting party, and everyone’s invited! 🎉

According to a notice on Kraken’s website, they restricted USDT to sell-only mode in the EEA on March 24. At the time of this writing, EEA users are left with the delightful option of selling but not buying the affected tokens. Talk about a one-way street! 🚧

In addition to USDt, Binance has also waved goodbye to a host of other non-MiCA-compliant tokens, including Dai (DAI), First Digital USD (FDUSD), TrueUSD (TUSD), Pax Dollar (USDP), Anchored Euro (AEUR), TerraUSD (UST), TerraClassicUSD (USTC), and PAX Gold (PAXG). It’s like a digital token funeral, but with less crying and more trading! 💔

Meanwhile, Kraken’s delisting roadmap in the EEA only included five tokens: USDT, PayPal USD (PYUSD), Tether EURt (EURT), TrueUSD, and TerraClassicUSD. A veritable buffet of compliance, if you will!

ESMA Doesn’t Prohibit Custody of Non-MiCA-Compliant Tokens

In a delightful twist, both Binance and Kraken have decided to keep custody services for non-MiCA-compliant tokens, aligning with a previous communication from the MiCA compliance supervisors. Because who doesn’t love a little regulatory ambiguity? 🤷‍♂️

On March 5, a spokesperson for the ESMA, in a moment of clarity amidst the chaos, informed CryptoMoon that custody and transfer services for non-MiCA-compliant stablecoins do not violate the new European cryptocurrency laws. A sigh of relief, or perhaps just a collective shrug?

However, the same regulator had previously advised European crypto asset service providers to halt all transactions involving the affected tokens after March 31, adding a delightful layer of confusion over MiCA requirements. It’s like a game of regulatory chess, and we’re all just pawns! ♟️

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2025-04-01 11:34