Tether CEO: EU MiCA rules pose “systemic” banking risk to stablecoins

 Tether CEO Paulo Ardoino stated that the upcoming regulatory framework in Europe will bring significant banking concerns to stablecoin issuers, which could threaten stability in the wider cryptocurrency space. The Markets in Crypto-Assets Regulation (MiCA) is the first comprehensive regulatory framework for the crypto industry and will come into full effect on December 30th. Under MiCA, stablecoin issuers must hold at least 60% of their reserve assets in European banks.