Kraken’s Bold Move: Tether Trading in Europe to Vanish by March 31!

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In a most curious turn of events, the esteemed Kraken has proclaimed its intention to sever ties with Tether’s token, along with a few other non-compliant stablecoins, for its European clientele. One might say, “What a delightful mess!” 😏

By the end of March, the crypto exchange shall bid adieu to the $140 billion U.S. dollar stablecoin, Tether (USDT), all thanks to the newly minted regulations from the European Union. Ah, the joys of bureaucracy! 🎩

This rather intriguing news first wafted through the air last May, when whispers of a potential USDT suspension began to circulate, as Kraken was “actively reviewing” its options. The culprit? The ever-so-serious Markets in Crypto Assets Regulation framework, which sounds like a title for a particularly dull novel. 📚

In a rather formal missive to its clients, Kraken confirmed the impending delisting of USDT, Tether’s euro stablecoin, PayPal’s PYUSD, UST, and TUSD for users residing in the European Economic Area. One can only imagine the sighs of resignation echoing through the digital halls of finance.

“While these changes weren’t needed until this point, recently updated guidance from European regulators led us to this decision to delist these assets to ensure our clients have enough time to take necessary action.”

— Kraken email

“Damn, @Kraken is delisting USDT for Europeans on March 31st.”

— Delta (@deltaxbt) January 31, 2025

It appears that Kraken is not alone in this endeavor; it stands as the third major crypto exchange to announce Tether’s delisting, following in the footsteps of Coinbase and Crypto.com. A veritable parade of delistings, one might say! 🎉

Yet, amidst this tempest of regulatory upheaval, Tether’s robust profits and ambitious expansion plans may serve as a cushion against the potential losses in the European market. The firm has reported a staggering $13 billion in net profits for 2024, buoyed by an all-time high in U.S. Treasuries held as reserves for its stablecoin. Quite the financial acrobatics, wouldn’t you agree? 🤹‍♂️

And let us not forget the Bitcoin-friendly nation of El Salvador, which has graciously opened its doors to Tether, allowing the group to establish its new headquarters in Central America. A most fortuitous turn of events for Tether, indeed!

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2025-01-31 22:15