Tether CEO Says Company Dropped Its EU License Application Over Reserve Rules
Crypto News reports Tether CEO Paolo Ardoino said the company abandoned its plan to apply for an EU license, citing reserve rules for major stablecoin issuers.
Why it matters
A reserve rule that pushes stablecoin issuers toward bank deposits changes how they hold and deploy backing, and the ECB's objection to the provision leaves the requirement unsettled. Crypto News listed the license decision as a development for Tether's European operations, but published nothing further on what Tether's European business does now.
Key facts
Tether CEO Paolo Ardoino announced the company has abandoned its plan to apply for a license to operate in the European Union.
Reported by Crypto News (CryptoNews.net)
Crypto News reported the central bank objections have reignited debate about how the regulation is implemented and how the stablecoin market is structured.
Reported by Crypto News (CryptoNews.net)
MiCA sets common rules for crypto asset services and stablecoin issuers across the EU, including requirements on reserve assets.
Reported by Crypto News (CryptoNews.net)
What happened
Crypto News reported that Tether CEO Paolo Ardoino announced the company has abandoned its plan to apply for a license to operate in the European Union. The outlet attributed the decision to a MiCA provision requiring major stablecoin issuers to hold at least 60 percent of their reserves in bank deposits, and said Ardoino stated Tether decided not to apply because of those conditions. Crypto News said his remarks followed objections from the European Central Bank and some EU central banks to that reserve provision, which the outlet described as reigniting debate over how the regulation is implemented and how the stablecoin market is structured. No other outlet in the desk's evidence covers the announcement, so the account of what Ardoino said and of the ECB's position rests on that single report. Crypto News did not publish a timeline for Tether's operations in Europe, any regulator response to Ardoino's statement, or a Tether statement beyond the CEO's remarks.
How the story developed
- First report
First report by Crypto News (CryptoNews.net)
Tether CEO Paolo Ardoino Announces They’ve Abandoned Their EU License Application! Here’s Why
- Update
Ardoino says Tether will not apply for an EU license
He attributed the decision to a MiCA provision requiring major stablecoin issuers to hold at least 60 percent of reserves in bank deposits.
- Official statement
ECB and EU central bank objections to the reserve provision reported
Crypto News said the objections came before Ardoino's remarks and have renewed debate over the regulation's implementation.
Affected entities
Original sources
| Publisher | Report | Role | Published |
|---|---|---|---|
| Crypto News (CryptoNews.net) Aggregator | Tether CEO Paolo Ardoino Announces They’ve Abandoned Their EU License Application! Here’s Why | Original |
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