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Cryptowire Assures Continued Listing of USDT in Europe
Cryptocurrency exchange Kraken has confirmed that it has no intentions of delisting Tether stablecoin USDT in Europe and is committed to complying with all legal requirements.
Statement by Mark Greenberg
In a recent announcement, Kraken’s global head of asset growth and management, Mark Greenberg, addressed speculations about the potential delisting of USDT in the European market. Greenberg emphasized the importance of USDT for European clients and stated that the firm is exploring various options to ensure continued access to USDT under the upcoming regulatory framework.
Greenberg further reiterated Kraken’s stance on Twitter, stating, “@krakenfx continues to list USDT in Europe and we have no plans to delist at this time.”
Regulatory Landscape
The European Union’s Markets in Crypto Assets regulation (MiCA) is set to come into effect later this year, with a specific focus on stablecoins like USDT that offer a stable value against traditional currencies.
SEC Lawsuit Against Kraken
In November 2023, the Securities and Exchange Commission (SEC) filed a lawsuit against Kraken, alleging that the exchange had been operating an unregistered securities trading platform. Kraken responded by filing a motion to dismiss the lawsuit in February 2024, arguing that cryptocurrencies compliant with SEC regulations should be treated as commodities rather than securities.
Recently, Kraken has escalated its position by urging the court to dismiss the claims to prevent a significant reordering of the US financial regulatory structure. The SEC, however, opposes Kraken’s motion, asserting its authority to enforce registration requirements for securities intermediaries.
Stablecoin Comparison
There has been ongoing discussion regarding the safety of stablecoins, particularly Tether’s USDT and USD Coin USDC. As of April, USDT’s market capitalization of $104 billion significantly surpasses USDC’s $32 billion. This disparity can be partly attributed to the network effect, with USDT being established in 2014 compared to USDC’s launch in 2018. The dominance of USDT in trading pairs on crypto exchanges is evident in its daily trading volume, which is substantially higher than that of USDC.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
