Kraken, a leading cryptocurrency exchange, has confirmed that it has no plans to delist Tether (USDT) in Europe, despite reports suggesting otherwise. This announcement comes amidst growing regulatory scrutiny under the European Union’s upcoming Markets in Crypto Assets Regulation (MiCA) framework.
Kraken’s Position on USDT Listing
On May 18, Mark Greenberg, Kraken’s global head of asset growth and management, stated in a social media post that Kraken will continue to list USDT in Europe. He emphasized that the exchange has no current plans to remove the stablecoin from its offerings. Greenberg reiterated Kraken’s commitment to adhering to legal requirements, even those with which the company may disagree. However, he noted that the regulatory rules are not yet finalized and that Kraken is working to ensure it can continue to offer relevant stablecoins to its European customers.
Regulatory Review and Potential Impact
A May 17 article from Bloomberg had reported that Kraken was “actively reviewing” its compliance plans concerning the MiCA framework. Marcus Hughes, Kraken’s global head of regulatory strategy, acknowledged the ongoing review process. He mentioned that Kraken is preparing for all possible scenarios, including the potential need to delist specific tokens like USDT if compliance becomes untenable.
The MiCA regulations, set to be implemented in stages, will impose rules on stablecoins starting June 30, followed by broader cryptocurrency service provider regulations taking effect on December 30.
Also Read: Kraken Seeks Dismissal of SEC Lawsuit
Industry Reactions and Comparisons
Kraken’s stance contrasts with actions taken by some of its competitors. In March, OKX delisted USDT in Europe, and Binance announced similar intentions last September. However, Binance has not yet acted on these plans.
In April, Kraken also ended support for the Monero privacy token for customers in Belgium and Ireland, indicating its ongoing adjustments to comply with varying regional regulations.
Continued Expansion in Europe
Despite regulatory challenges, Kraken continues to expand its presence in Europe. The exchange recently secured a virtual asset service provider registration in Spain and the Netherlands and obtained an electronic money institution license in Ireland. These developments highlight Kraken’s commitment to growing its services and maintaining regulatory compliance across different jurisdictions.
