10 STABLECOIN ISSUERS APPROVED UNDER EUS MICA — TETHER IS LEFT OUT

Last updated: June 19, 2025, 21:42 | Written by: Meltem Demirors

The European Union is taking a significant leap into the future of digital finance with its Markets in Crypto-Assets (MiCA) regulatory framework. The European Union has approved ten firms to issue stablecoins under its Markets in Crypto-Assets (MiCA) regulatory framework, including Circle and Banking Circle, among others. These issuers have launched ten euro-pegged and five US dollar-pegged stablecoins. Notably absent from this list is Tether, the issuer of USDt, which has theThis landmark legislation aims to provide a clear and consistent legal structure for crypto assets, including stablecoins, across all EU member states. The European Union (EU) has granted approval to 10 stablecoin issuers under its Markets in Crypto-Assets (MiCA) regulations, notably excluding Tether, the issuer of USDT. This decision has sparked discussions about the EU s regulatory approach and its potential impact on the cryptocurrency market, particularly the implications for TetherWhile this is a welcome development for the industry, the initial rollout has sparked considerable debate, particularly due to the exclusion of Tether (USDT), the world's largest stablecoin by market capitalization, from the list of approved issuers.The EU has given the green light to ten firms to issue stablecoins under MiCA, signaling a new era of regulated digital assets within the region.But what does this mean for the future of stablecoins in Europe?How will this impact the broader crypto market? Crypto platforms started delisting USDt for EU residents ahead of MiCA s December 2025 compliance deadline. Other non-compliant U.S. dollar-pegged stablecoins have also been removed from EU-based services. Tether, in response, expressed disappointment, calling the delistings hasty and unwarranted.And why was Tether, with its massive $141 billion market cap, notably absent from the list? 10 stablecoin issuers approved under EU s MiCA Tether is left out. which left the EU in 2025, makes it unlikely that any crypto firms leaving the EU would choose to relocate to theThis article will delve into the details of MiCA, explore the approved stablecoin issuers, and analyze the potential consequences of Tether's exclusion, offering a comprehensive understanding of this pivotal moment in crypto regulation.

Understanding the EU's MiCA Framework

The Markets in Crypto-Assets (MiCA) framework represents a comprehensive attempt by the European Union to regulate the burgeoning crypto industry.Unlike the patchwork of regulations that currently exist across different countries, MiCA aims to create a unified approach that fosters innovation while protecting consumers and maintaining financial stability.For stablecoins, MiCA introduces stringent requirements regarding reserves, capital adequacy, and operational standards.These rules are designed to ensure that stablecoins are genuinely backed by assets and that issuers can meet redemption requests without causing market disruption.MiCA’s regulations are expected to fully take effect by December 2025.

Key Objectives of MiCA

Consumer Protection: MiCA seeks to protect consumers by requiring stablecoin issuers to provide clear and transparent information about their products, including details about the underlying reserves and the rights of holders.
Financial Stability: The framework aims to mitigate risks to financial stability by imposing capital requirements and operational standards on stablecoin issuers, reducing the likelihood of runs or collapses.
Market Integrity: MiCA includes provisions to prevent market manipulation and insider trading, ensuring fair and orderly trading of crypto assets.
Innovation: While regulatory in nature, MiCA intends to foster innovation within a well-defined regulatory perimeter, allowing the crypto industry to develop sustainably.

The Approved Stablecoin Issuers Under MiCA

As of now, ten firms have been approved to issue stablecoins within the EU under the MiCA framework.This marks a significant milestone, as these companies can now operate with legal certainty and offer their services to EU residents.The approved issuers represent a mix of established financial institutions and emerging crypto firms, signaling a broad acceptance of stablecoins within the European financial landscape.

Banking Circle: A financial infrastructure provider focused on cross-border payments.
Circle: The issuer of USDC, one of the largest and most widely used USD-pegged stablecoins.
Crypto.com: A prominent cryptocurrency exchange and payment platform.
Fiat Republic: A platform specializing in fiat-to-crypto gateways and stablecoin integrations.
Membrane Finance: A fintech company focused on developing digital asset solutions.
Quantoz Payments: A provider of blockchain-based payment solutions.
Schuman Financial: Details about this firm's specific offerings are still emerging.
Societe Generale: A major French multinational investment bank and financial services company.
StabIR: A company focusing on issuing euro-backed stablecoins.
Stable Mint: Further information about this issuer is still being released.

The presence of companies like Circle and Crypto.com on this list indicates that MiCA is not solely focused on smaller, niche players. Noticeably absent from the list was Tether, the issuer of USDt the world s largest stablecoin by market capitalization at over $141 billion at the time of this writing highlighting the delicate balance between regulation and market opportunities. List of MiCA-authorized e-money issuers. Source: Patrick HansenHowever, the absence of Tether, the dominant player in the stablecoin market, raises significant questions about the implications of this regulatory landscape.

Tether's Exclusion: A Closer Look

The exclusion of Tether (USDT) from the list of approved stablecoin issuers under MiCA is undoubtedly the most talked-about aspect of this regulatory development.With a market capitalization exceeding $141 billion, Tether's USDT is by far the largest stablecoin in the world, playing a crucial role in facilitating trading and providing liquidity across cryptocurrency exchanges. Tether, the largest stablecoin issuer, has been left out of the approved list. The MiCA framework imposes strict compliance requirements on stablecoin issuers. Concerns arise regarding the impact of these regulations on market competition and innovation.Why, then, was Tether left out?

Potential Reasons for Exclusion

Compliance Concerns: MiCA imposes strict compliance requirements on stablecoin issuers, particularly regarding reserves and transparency. Ten firms are currently approved to issue stablecoins in the European Union under the supranational organization s Markets in Crypto-Assets (MiCA) regulatory framework.Tether has faced criticism in the past regarding the composition and auditability of its reserves.It is possible that Tether's current practices did not meet the standards set by MiCA.
Regulatory Scrutiny: Tether has been under regulatory scrutiny in various jurisdictions, including the United States. The European Union has approved 10 firms to issue stablecoins under its Markets in Crypto-Assets (MiCA) regulatory framework, excluding Tether, the issuer of USDT. The approved firms include Banking Circle, Circle, Crypto.com, Fiat Republic, Membrane Finance, Quantoz Payments, Schuman Financial, Societe Generale, StabIR, and Stable Mint.This increased scrutiny may have influenced the EU's decision to exclude Tether from the list of approved issuers.
Strategic Decision: It's also possible that Tether made a strategic decision not to seek approval under MiCA, perhaps due to the perceived costs and complexities of compliance, or because they are focusing on other markets.

Tether's Response and Global Expansion

In response to the MiCA regulations and the subsequent delisting of USDT by some crypto platforms for EU residents, Tether has expressed disappointment, arguing that these actions are ""hasty and unwarranted."" Despite the EU's restrictions, Tether is actively expanding its reach globally.Recent reports indicate a proposed 51% stake in a South African energy firm, highlighting Tether's ambitions to diversify its operations beyond the crypto space.

Impact on the Stablecoin Market and Crypto Ecosystem

The implementation of MiCA and the exclusion of Tether are poised to have a significant impact on the stablecoin market and the broader crypto ecosystem within the European Union.These changes could reshape the competitive landscape, influence trading behavior, and potentially affect the overall adoption of cryptocurrencies in the region.

Potential Consequences

Shifting Market Share: With Tether potentially restricted within the EU, other stablecoins like USDC (issued by Circle) and euro-backed stablecoins from approved issuers could gain market share. EU approves 10 stablecoin issuers, Tether left out As MiCA rules take effect, some platforms have delisted USDT for EU users, sparking criticism from Tether regarding unclear regulations. The European Union has approved ten stablecoin issuers under its Markets in Crypto-Assets (MiCA) framework, allowing them to operate within the region.This could lead to a more diversified stablecoin ecosystem in Europe.
Increased Adoption of Euro-Backed Stablecoins: MiCA's focus on regulatory compliance may encourage the development and adoption of euro-backed stablecoins. 10 stablecoin issuers approved under EU s MiCA Tether is left out. According to Circle s Senior Director and EU Strategy Policy Executive, Patrick Hansen, the EU has authorized 10 stablecoin issuers that are recognized as MiCA-compliant by the EU government. In total, these issuers have introduced 10 euro-backed stablecoins and 5 USDThis could strengthen the role of the euro in the digital asset space and reduce reliance on USD-pegged stablecoins.
Impact on Trading and Liquidity: Tether's absence could affect trading volumes and liquidity on European cryptocurrency exchanges, especially for trading pairs involving USDT. BTCUSD Bitcoin 10 stablecoin issuers approved under EU s MiCA Tether is left out The European Union continues to lead the world in regulations, but at the cost of economic growth, competitiveness and tech innovation.Exchanges may need to adapt by offering alternative stablecoin options.
Potential for Regulatory Arbitrage: The stringent regulations in the EU could potentially lead to regulatory arbitrage, with some crypto firms choosing to operate outside the EU to avoid compliance costs.However, this could also expose them to legal risks if they target EU residents.

Concerns and Criticisms of MiCA

While MiCA is generally seen as a positive step toward regulating the crypto industry, it has also faced criticism from some quarters. Ten firms are currently approved to issue stablecoins in the European Union under the supranational organization s Markets in Crypto-Assets (MiCA) regulatory framework.According to Patrick Hansen, senior director of EU strategy and policy at Circle, the list includes Banking Circle, stablecoin issuSome argue that the regulations are too strict and could stifle innovation and economic growth in Europe. 10 stablecoin issuers approved under EU s MiCA Tether is left out World The capital is under attack : Russian drones launched over Kyiv after Moscow targetedOthers express concerns about the potential for unintended consequences and the impact on market competition.

Arguments Against MiCA

Stifling Innovation: Critics argue that the stringent compliance requirements imposed by MiCA could make it difficult for smaller, innovative crypto firms to compete, potentially hindering innovation in the sector.
Economic Growth Concerns: Some fear that the regulatory burden could discourage crypto businesses from operating in the EU, leading to a loss of jobs and investment.
Competitive Disadvantage: Concerns have been raised that MiCA could put European crypto firms at a disadvantage compared to companies operating in less regulated jurisdictions.

The Future of Stablecoins in Europe Under MiCA

The future of stablecoins in Europe under MiCA is uncertain, but the framework undoubtedly sets the stage for a more regulated and transparent market. 10 stablecoin issuers approved under EU s MiCA Tether is left out The European Union continues to lead the world in regulations, but at the cost of economic growth, competitiveness and tech innovation.The success of MiCA will depend on several factors, including the ability of regulators to strike a balance between consumer protection and innovation, the willingness of crypto firms to comply with the new rules, and the overall acceptance of stablecoins by consumers and businesses.

Key Questions for the Future

Will Tether seek to comply with MiCA in the future?
How will the market share of different stablecoins evolve in the EU?
Will MiCA encourage the development and adoption of euro-backed stablecoins?
What will be the long-term impact of MiCA on the European crypto ecosystem?

Practical Advice for Crypto Users in the EU

For crypto users in the EU, the implementation of MiCA and the evolving stablecoin landscape require careful consideration and adaptation. Notably, Tether, the issuer of USDT, was excluded from this list, raising questions about the implications for the stablecoin market and regulatory landscape. Key Takeaways. The EU has approved ten stablecoin issuers under MiCA regulations. Tether, the largest stablecoin by market cap, was notably excluded.Here are some practical tips:

Stay Informed: Keep up-to-date with the latest developments regarding MiCA and the regulatory status of different stablecoins.
Diversify Your Stablecoin Holdings: Consider diversifying your stablecoin holdings to reduce your exposure to any single stablecoin issuer.
Use Regulated Platforms: Opt for cryptocurrency exchanges and platforms that comply with MiCA regulations.
Understand the Risks: Be aware of the risks associated with stablecoins, including the potential for loss of value or regulatory changes.

Conclusion

The EU's MiCA framework represents a bold attempt to regulate the crypto industry, particularly stablecoins, within its borders. Watch These Palo Alto Networks Stock Levels AfterThe approval of ten stablecoin issuers, coupled with the notable exclusion of Tether, has sparked a debate about the future of stablecoins in Europe.While MiCA aims to protect consumers and maintain financial stability, concerns remain about its potential impact on innovation and market competition.The exclusion of Tether (USDT), the largest stablecoin by market cap, from the list of approved issuers raises crucial questions about the balance between regulation and market opportunities. Tether s Exclusion from EU Stablecoin List. The European Union has approved 10 firms to issue stablecoins under its Markets in Crypto-Assets (MiCA) framework. Among the approved issuers are Circle, Crypto.com, and Fiat Republic. However, Tether, the largest stablecoin issuer by market capitalization, is absent from the list.As MiCA continues to unfold, it will be essential to monitor its impact on the stablecoin market, the broader crypto ecosystem, and the overall competitiveness of the European digital economy. The European Union has approved 10 stablecoin issuers under its MiCA regulations, notably excluding Tether's USDT. This decision raises questions about the future of stablecoin regulation and market dynamics within the EU.The evolving landscape underscores the importance of staying informed, diversifying holdings, and using regulated platforms to navigate the future of crypto in the EU. Tether, the largest stablecoin issuer, has been left out of the approved list. The MiCA framework imposes strict compliance requirements on stablecoin issuers. Concerns arise regarding the impact of these regulations on market competition and innovation. Overview of Approved Stablecoin Issuers. The approved firms include: Banking Circle; CircleWhether MiCA will ultimately foster a thriving and responsible crypto environment remains to be seen, but its implementation marks a pivotal moment in the global regulation of digital assets. The European Union (EU) has granted approval to 10 stablecoin issuers under its Markets in Crypto-Assets (MiCA) regulations, notably excluding Tether, the issuer of USDT . This decision has sparked discussions about the EU's regulatory approach and its potential impact on the cryptocurrency market, particularly the implications for Tether afterThe fate of stablecoins, and perhaps the future of crypto innovation in Europe, hinges on the successful navigation of this new regulatory terrain.