EU crypto platforms given 3 months to remove unauthorized stablecoins

The European Securities and Markets Authority (ESMA) has instructed EU-based crypto platforms to cease offering unauthorized stablecoins, such as Tether’s USDT, within three months. This directive aligns with the Markets in Crypto-Assets (MiCA) regulation, which permits only compliant stablecoins like USDC to be offered by regulated entities. Platforms must resolve existing holdings of non-compliant stablecoins, allowing only limited actions such as liquidation or transfer. This move underscores MiCA’s strict regulatory environment and may impact the availability of non-compliant stablecoins on EU-regulated platforms. The ESMA’s actions reflect ongoing efforts to enforce regulatory compliance in the crypto sector and could influence market dynamics, including the sentiment surrounding digital assets such as XRP. Key Takeaways The ESMA’s directive appears to tighten regulatory oversight by enforcing compliance with MiCA’s authorized stablecoins, potentially affecting market access for unauthorized tokens like USDT. Market pricing suggests a decrease in confidence for XRP reaching an all-time high by the end of 2026, possibly due to increased regulatory scrutiny in the EU. The direct...