{"id":167628,"date":"2024-06-18T14:05:04","date_gmt":"2024-06-18T14:05:04","guid":{"rendered":"https:\/\/crypto-economy.com\/?p=167628"},"modified":"2024-06-18T15:09:05","modified_gmt":"2024-06-18T15:09:05","slug":"uphold-delists-key-stablecoins-ahead-of-mica","status":"publish","type":"post","link":"https:\/\/crypto-economy.com\/uphold-delists-key-stablecoins-ahead-of-mica\/","title":{"rendered":"New Regulations in the EU Are Already Harming Crypto Users: Uphold Delists Key Stablecoins Ahead of MiCA"},"content":{"rendered":"<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">TL;DR<\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify\">\n<li><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Uphold will list several stablecoins in preparation for the EU MiCA regulation.<\/span><\/span><\/li>\n<li><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The MiCA regulation requires stablecoin issuers to obtain specific licenses.<\/span><\/span><\/li>\n<li><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">USDC could emerge as a preferred option in the region due to its compliance with new regulations.<\/span><\/span><\/li>\n<\/ul>\n<hr \/>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">In anticipation of the implementation of the European Union&#8217;s new Markets in Cryptoassets (MiCA) regulation<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, New York-based <\/span><span style=\"vertical-align: inherit\">cryptocurrency exchange <\/span><\/span><a href=\"https:\/\/uphold.com\/es\" target=\"_blank\" rel=\"noopener\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Uphold<\/span><\/span><\/strong><\/a><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> has decided to remove several popular <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">stablecoins from its list.<\/span><\/span><\/strong><\/p>\n<p><!--more--><\/p>\n<p style=\"text-align: justify\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">This move is not isolated, as other major platforms such as <\/span><\/span><strong><a href=\"https:\/\/crypto-economy.com\/binance-exchange-review-complete-guide\/\" target=\"_blank\" rel=\"noopener\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Binance,<\/span><\/span><\/a><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> Kraken<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, and <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">OKX<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> have taken similar steps to align with future regulations and avoid potential sanctions.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The MiCA regulation, which will come into force on June 30, 2024<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, seeks to establish a clear and comprehensive regulatory framework for cryptoassets in the European Economic Area (EEA).<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">According to <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Antony Welfare,<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> Senior Advisor for <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">CBDC Europe and Global Partnerships at Ripple<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Uphold<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> will stop supporting Tether (USDT), Dai (DAI), Frax (FRAX), Gemini Dollar (GUSD), Pax Dollar (USDP) and TrueUSD ( TUSD) starting July 1.<\/span><\/span><\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\"><a href=\"https:\/\/twitter.com\/hashtag\/Mica?src=hash&amp;ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">#Mica<\/a> <a href=\"https:\/\/twitter.com\/hashtag\/stablecoin?src=hash&amp;ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">#stablecoin<\/a> regulations mean not all <a href=\"https:\/\/twitter.com\/search?q=%24USD&amp;src=ctag&amp;ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">$USD<\/a> stablecoins are treated equally .. interesting to see which are ok \ud83d\udc4d <a href=\"https:\/\/t.co\/4hJEL4T24n\" target=\"_blank\">pic.twitter.com\/4hJEL4T24n<\/a><\/p>\n<p>&mdash; Antony Welfare (@AntonyWelfare) <a href=\"https:\/\/twitter.com\/AntonyWelfare\/status\/1802790828991021286?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">June 17, 2024<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The platform has advised its users to convert these stablecoins before June 27<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> to avoid automatic conversion to <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">USDC<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> on June 28. <\/span><\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">This measure seeks to ensure compliance with <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">MiCA<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, which requires <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">stablecoin issuers <\/span><\/span><\/strong> <strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">operating within the EEA to obtain licenses as Electronic Money Institutions<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> (EMI) or credit institutions.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The MiCA regulation represents a debatable attempt to impose centralized control over a space that has been characterized by its decentralization and financial autonomy<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Although it is argued that these regulations are necessary to protect consumers and ensure market stability, many in the crypto community see this as an <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">unnecessary and restrictive obstacle.<\/span><\/span><\/strong><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The lack of flexibility and administrative burden involved in obtaining specific licenses could stifle innovation in the cryptocurrency sector<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, forcing smaller, more agile projects to close or move outside the EEA.<\/span><\/span><\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter size-full wp-image-85883\" src=\"https:\/\/crypto-economy.com\/es\/\/wp-content\/uploads\/sites\/4\/2024\/06\/Crypto-Regulations.jpg\" alt=\"New regulations in the EU are already hurting cryptocurrency users: Uphold delists major stablecoins ahead of MiCA\" width=\"825\" height=\"300\" \/><\/p>\n<h2><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The future of stablecoins in Europe under MiCA<\/span><\/span><\/h2>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The implementation of MiCA will have a significant impact on the cryptocurrency market in Europe<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, but not necessarily for the better.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The <strong>new rules,<\/strong> while presenting some regulatory clarity, could also stifle the development and adoption of emerging technologies in the cryptocurrency space.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The delisting of stablecoins by exchanges like Uphold<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> reflects a worrying trend toward centralization and strict regulatory control in an arena that has flourished precisely because of its decentralized and free nature.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">As the MiCA implementation date approaches<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, uncertainty and resistance is growing among market participants. <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Issuers and exchanges face an uncertain and complex regulatory landscape<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, which could discourage investment and innovation in the sector.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The bureaucracy associated with <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">obtaining licenses such as EMI or credit institutions could become an insurmountable barrier for many innovative projects,<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> thus limiting the growth potential of the European cryptocurrency market.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">In this critical context<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, it is important to question whether <\/span><\/span><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">MiCA<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> will achieve its stated goals of consumer protection and market stability without sacrificing the innovation and financial freedom that have been the hallmark of the global crypto ecosystem.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The forced centralization of operations and the imposition of regulatory barriers could drive away innovators and entrepreneurs<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\"> from the region, seeking more welcoming environments to develop their disruptive technologies.<\/span><\/span><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">The implementation of MiCA could represent a setback for the European crypto community<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, placing the region at a disadvantage compared to other <\/span><span style=\"vertical-align: inherit\">more open and flexible <\/span><\/span><a href=\"https:\/\/crypto-economy.com\/news\/markets\/\" target=\"_blank\" rel=\"noopener\"><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">markets.<\/span><\/span><\/a><\/p>\n<p style=\"text-align: justify\"><strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">Although the intentions behind MiCA may be noble in terms of consumer protection<\/span><\/span><\/strong><span style=\"vertical-align: inherit\"><span style=\"vertical-align: inherit\">, its rigorous and centralized execution raises serious questions about the future of financial innovation in Europe.<\/span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>TL;DR Uphold will list several stablecoins in preparation for the EU MiCA regulation. The MiCA regulation requires stablecoin issuers to obtain specific licenses. USDC could emerge as a preferred option in the region due to its compliance with new regulations. In anticipation of the implementation of the European Union&#8217;s new Markets in Cryptoassets (MiCA) regulation, &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"New Regulations in the EU Are Already Harming Crypto Users: Uphold Delists Key Stablecoins Ahead of MiCA\" class=\"read-more button\" href=\"https:\/\/crypto-economy.com\/uphold-delists-key-stablecoins-ahead-of-mica\/#more-167628\" aria-label=\"More on New Regulations in the EU Are Already Harming Crypto Users: Uphold Delists Key Stablecoins Ahead of MiCA\">Read more<\/a><\/p>\n","protected":false},"author":33,"featured_media":167632,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[88,84,74],"tags":[4620,5536,5437,4656,5001],"_links":{"self":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/167628"}],"collection":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/users\/33"}],"replies":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/comments?post=167628"}],"version-history":[{"count":5,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/167628\/revisions"}],"predecessor-version":[{"id":167646,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/167628\/revisions\/167646"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/media\/167632"}],"wp:attachment":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/media?parent=167628"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/categories?post=167628"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/tags?post=167628"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}