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Kraken Backtracks on Delisting USDT in Europe to Prioritize Users Preference

Published 19/05/2024, 16:45
Kraken Backtracks on Delisting USDT in Europe to Prioritize Users Preference
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  • Kraken’s asset management head, Mark Greenberg, confirms that USDT will remain listed in Europe.
  • The statement contrasts an earlier one from Kraken’s head of regulatory strategy.
  • Greenberg noted Krakens’ European clients have a high preference for USDT and will therefore honor the preference.

Mark Greenberg, the global head of Kraken’s asset management business, has clarified that the exchange will continue to list Tether’s USDT stablecoin in Europe, stressing that there are no plans to delist it now.

Greenberg made this remark in a May 18 post on his X social media account. The clarification comes after Coin Edition reported that Kraken is considering delisting USDT stablecoin from its European platform.

During a recent interview, Marcus Hughes, Kraken’s global head of regulatory strategy, confirmed the delisting likelihood. Hughes noted the action would be based on the upcoming MiCA regulations from the European Union. In his words:

“We’re absolutely planning for all eventualities, including situations where it’s just not tenable to list specific tokens such as USDT. It’s something that we’re actively reviewing, and as the position becomes clearer.”

Contrary to Hughes’ earlier suggestion, Greenberg has disclosed Kraken’s commitment to its European clients. Greenberg noted its European clients have a high preference for USDT. As such, the exchange will continue to explore all options for offering USDT under the upcoming regulatory regime.

Furthermore, Greenberg emphasized that while Kraken will adhere to all legal obligations, even those it may not agree with, the regulations concerning stablecoins are still under development. He assured that Kraken is committed to doing everything within its power to provide its European customers with access to all pertinent stablecoins.

The European Union is on the verge of rolling out the Markets in Crypto-Assets (MiCA)for digital assets. This framework is anticipated to enforce strict regulations on stablecoins, which could affect the standing of USDT in the European market.

Notably, Tether’s USDT is the most prominent stablecoin in the crypto sphere, with a valuation exceeding $111.45 billion and a 24-hour trading volume over $35.65 billion. USDT’s closest rival, USDC, is more than ten times below its 24-hour volume.

Tether’s USDT continues to attract scrutiny in the financial space. Critics often cite a lack of transparency in the company’s reserve, although the executives have continuously disproved the claims with their period report.

The post Kraken Backtracks on Delisting USDT in Europe to Prioritize Users Preference appeared first on Coin Edition.

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