Report: Uphold stops support for USDT GUSD TUSD due to new European law
Uphold, a cloud-based multi-assets platform, has started notifying its customers of its decision to discontinue support for Tether’s USDT and Gemini’s GUSD as well as other stablecoins.
Due to the new European regulatory framework, the Markets in Crypto-Assets Act or MiCA, the multi-asset trading platform uphold has ceased support for a basket of stablecoins.
According to an email from Uphold shared by Commercializing Blockchain Research Centre founder Antony Welfare in an X message, the New York-based firm will stop supporting USDT, GUSD DAI, FRAX TUSD and USDP as of July. The move was attributed to the “new European Union regulations on stablecoins”, according to a statement made by CBRC founder Antony Welfare in an X post.
Uphold had not made any public statements about the issue as of the time of publication. Crypto.news has reached out to us for comment and we will update this article if they respond.
After the suspension, Uphold continues to support Paxos ‘s USDC and EURC stablecoins, as well PYUSD from Paxos , for PayPal. The company encouraged customers to convert their stablecoin holdings by June. 27. On June 28, any remaining balance in these stablecoins is automatically converted into USDC. Uphold has added 28.
Regulation ‘Extremely Vulnerable’
MiCA came into effect in June 2023. However, the provisions relating to asset-referenced and emoney tokens are applicable from Jun. 30. According to the new regulation no stablecoins are allowed to be offered to the European Union public, or “admitted for trading on a platform that deals in crypto-assets” unless the issuer has been authorized in the area and published a “whitepaper” approved by the competent national authority.
Some crypto executives are concerned about the new regulatory landscape. In an interview with The Block , Tether CEO Paolo Ardoino stated that MiCA could “not only make the job of stablecoin issues extremely complex, but also make EU licensed stablecoins very vulnerable and riskier.”
Binance , a crypto exchange, said that in early June it would not delist unauthorized Stablecoins but limit their availability for European Economic Area users to certain products and promote regulated stabilcoins.
reports sprang up in mid-May claiming that Kraken, an American-based crypto exchange, had also been “actively” reviewing delisting plans of USDT, the stablecoin created by Tether. Mark Greenberg , Kraken’s global director of asset growth and management business, later denied delisting rumors. He said the exchange was still looking at “all options” to offer USDT in the new regime.
