Tether's USDT Stablecoin Loses Last Regulated Foothold in EU

The European Union's Markets in Crypto-Assets (MiCA) regulation has come into effect on July 1, marking the end of a transitional period for crypto firms. Only about 194 companies had secured a MiCA license by May 2026, out of more than 3,000 that once held national registrations across the region.

Tether's USDT stablecoin has lost its last regulated foothold in Europe as a result of the regulation change. The largest stablecoin at roughly $175 billion was pulled from licensed EU venues by major exchanges like Binance, Coinbase, Kraken, and Crypto.com after Tether declined to seek authorization.

The French markets regulator has taken a particularly hard line on unlicensed firms, warning that they face criminal charges, including up to two years in prison and a 30,000 euro fine. The agency can also blacklist offenders or ask courts to block their sites.