Digital Asset Exchange Crypto.com said that it suspends certain token services deemed unauthorized in terms of European Union market legislation (MICA) in a press release to its customers on Tuesday.
The press release indicates that from January 31, it will no longer offer certain Stablecoins services, such as Tether USDT, Paypal USD, Pax Dollar alongside Crypto.com ETH ETH and Crypto.com in SOED SOD. Coindesk contacted Tether, Paypal and Paxos for a comment.
The exchanges are required to follow the rules of tailor -made European unions for the known cryptographic assets under the name of Mica which require that the stablecoin issuers and the ignition services providers have the authorization necessary to be accessible by Europeans. The rules have an impact on the 30 nations in the European economic field.
“In accordance with the regulatory requirements of Mica, we will suspend the purchase of assets allocated on January 31, 2025,” a spokesperson from Crypto.com told Coindesk.
EU regulators sent an opinion last week to exhorting exchanges to guarantee compliance with its stable rules under mica in the next two months. The European authority on securities and markets urged exchanges to stop offering unauthorized stable tokens to EU customers.
“Crypto.com ETH ETH ETH and CRISPO.COM SOKE SOLD are classified as Tokens indicates (LST)”, under Mica, said a person familiar with the case. As some LSTs can be considered as asset reference tokens (art) in the regulatory definitions of Mica, Crypto.com has chosen to set up these assets, they added.
Read more: the restrictive rules of the EU stable soon take effect and the issuers are lacking time
