Cryptocurrency exchange giant Binance has unveiled its intention to remove all stablecoins from the European market by June 30, 2024, citing concerns about non-compliance with the forthcoming Markets in Crypto Assets (MiCA) legislation. This strategic move was disclosed by Marina Parthuisot, the Head of Legal at Binance France, during a public hearing convened by the European Banking Authority (EBA) on Thursday.
The MiCA regulation, a landmark piece of cryptocurrency legislation passed earlier this year, is poised to establish a comprehensive legal framework for stablecoins and is slated to become effective in the coming year. It’s important to note that as of now, no stablecoin project has secured approval under the MiCA guidelines. Parthuisot expressed apprehension that this situation could have a pronounced impact on the European cryptocurrency market, potentially setting it apart from other global regions.
Elizabeth Noble, who leads the MiCA team at the EBA, responded to Parthuisot’s assertions by emphasizing that there will be no transitional arrangements for such tokens. She stated unequivocally, “The rules will be enforced starting from the conclusion of June next year,” during Thursday’s proceedings.
In response to this development, Binance CEO Changpeng Zhao (CZ) offered a nuanced perspective, hinting that the situation may be more complex than initially perceived. He alluded to the fact that numerous partners are actively collaborating to launch Euro (EUR) and other stablecoins in strict adherence to regulatory standards. However, no detailed information regarding these partnerships or their progress was provided at this juncture.
