Tether CEO: EU MiCA Regulations Are Very Dangerous for Stablecoins, Waiving Application to Protect Users

Odaily reported that Tether CEO Paolo Ardoino explained why USDT has not applied for an EU MiCA license, stating that the regulation is "very dangerous for stablecoins."

Ardoino stated that MiCA may require stablecoin issuers to hold 60% of their reserves in uninsured cash deposits at small European banks, which may not be able to handle large-scale redemption pressure.

He believes that the MiCA legislation is "badly thought out" and that Tether chose not to apply for the relevant license in order to protect its over 400 million users. (Coin Bureau)