Kraken will abolish EEA USDT and non-MICA-compliant stubcoins by March 31st

Kraken will remove Tether (USDT) and four other stubcoins in the European Economic Area (EEA) in preparation for future regulatory changes in the Crypto-Assets (MICA) regulated market. The listing will occur at the stage and will be concluded by March 31, 2025 with an automatic conversion of the remaining holdings.

In addition to USDT, other stablecoins affected are PayPal USD (PYUSD), Euro Tether (Eurt), TrueUSD (TUSD), and Terrausd (USDT).

The listing process will begin on February 13, 2025, when the margin pair containing these assets is set to “reduction only” for EEA clients. By February 27th, spot transactions will be restricted to “sell-only” mode, with new deposit addresses for affected assets no longer being generated.

On March 17th, any outstanding margin positions involving these assets will be automatically closed. All spot transactions for these stubcoin will be suspended for EEA clients on March 24th, and all open orders will be closed.

From March 31, 2025, all remaining EEA client holdings for these assets will be automatically converted to equivalent Stablecoin. The exchange noted that affected assets placed at existing addresses after the deadline could only be used for withdrawals.

Exchanges operating virtual asset service provider services across Germany, Spain, Italy, the Netherlands, Belgium, Ireland, France and Poland have announced that in May last year they will comply with stricter stubcoin requirements under MICA regulations. He said he is considering registering at.

Kraken’s decision comes amid growing scrutiny of European Stablecoins regulations. Several major exchanges continue to comply and take proactive steps to provide long-term services in Europe.

Crypto.com said Wednesday that it would remove USDT along with nine other European tokens as of January 31, 2025. The exchange will suspend purchases and suspend deposits, but will allow withdrawal until March 31, 2025.

Users are encouraged to convert the affected tokens into a finely suited asset by the end of the first quarter. Otherwise, it will automatically converge to compliant assets.