In early 2025, several major cryptocurrency exchanges—including Crypto.com, Binance, and Kraken—announced they would stop supporting Tether’s USDT for users in the European Union. If you’re living in the EU and dabbling in crypto, even casually like I do, that probably didn’t go unnoticed.
This move came in response to MiCA, the EU’s Markets in Crypto-Assets Regulation. MiCA introduces stricter rules for stablecoins: issuers now need to be authorized as electronic money institutions in order to operate in the EU. Tether, which issues USDT, hasn’t secured that authorization—hence the delistings.
I live in Portugal, originally from the UK, and while crypto isn’t my main gig, I use it now and then to receive international payments, avoid some traditional banking hassles, and occasionally ride the ups and downs of the market. Like many other expats and digital nomads here, I’ve been relying on USDT for its liquidity and ease of use. So this change hit close to home.
So What Exactly Happened?
Starting around January 2025, exchanges began notifying users via email or in-app banners that USDT would no longer be available for trading or even deposit from within the EU. This wasn’t limited to just USDT either—other stablecoins like DAI and TUSD also got the boot, though USDT was the biggest name affected.
The timing was coordinated with the first wave of MiCA’s stablecoin rules going into effect. Essentially, if a stablecoin doesn’t meet the new regulatory requirements, exchanges can’t legally offer it to users in EU countries.
Here are some articles confirming the development:
- Crypto.com to Delist Tether in the EU – Yahoo Finance
- Binance Halts Spot USDT Trading in EEA – Cointelegraph
- Kraken Delists Tether for EU Users – DLNews
- USDT Being Delisted in Europe? Alternatives – CCN
- Financial Times on MiCA and Stablecoins
What Does That Mean for Casual Users Like Me?
For those of us who still hold USDT in personal wallets like MetaMask, Ledger, or Trust Wallet, this regulatory change creates a bit of a logistical headache. Since the exchanges no longer support it, you can’t simply send your USDT to Binance or Kraken and convert it like you used to.
Here’s what I did—and what I think is the simplest workaround for now:
- Use a DEX: I went to Uniswap and connected my MetaMask wallet.
- Swap USDT to USDC: Since USDC is MiCA-compliant and still supported on EU exchanges, it’s the safest bet. The swap itself was straightforward, though gas fees can be annoying.
- Transfer USDC to Exchange: After the swap, I sent the USDC to my Binance account (which still accepts it) and from there, I could trade or cash out to euros via SEPA.
This route isn’t for everyone—especially if you’ve never used decentralized exchanges—but it gets the job done. Some people are also using Bridges or DeFi aggregators to find better rates and lower fees, but that’s veering into more advanced territory.
Why Not Just Use Fiat?
A fair question. For freelancers or nomads like me, crypto isn’t just about speculation—it’s often a way to receive payments faster and with fewer fees than traditional bank transfers. Many clients prefer paying in stablecoins like USDT, especially in regions where currency volatility is a concern. That’s part of why this change is frustrating. It cuts off a major on-ramp to the system we’ve come to rely on.
What’s Next?
As far as I can tell, this isn’t going to be a temporary glitch. The EU is very serious about enforcing MiCA, and exchanges are scrambling to comply to avoid fines or legal trouble. Tether hasn’t made any public moves to become MiCA-compliant, so USDT likely won’t return to EU exchanges anytime soon.
That said, USDC and EUR-backed stablecoins like EURC or EUROe might fill the gap. They’re more transparent in their reserves and seem to be playing ball with EU regulators. For now, they’re the go-to alternatives if you’re in the eurozone and need crypto liquidity without breaking any rules.
Final Thoughts
I never thought I’d be worrying about whether a stablecoin was compliant or not—it’s not exactly why I got into using crypto in the first place. But here we are. This isn’t a doomsday scenario for EU crypto users, but it is a hassle. One that adds friction to something that was supposed to be simple.
If you’re sitting on a chunk of USDT in your wallet and wondering what to do, I’d recommend converting it sooner rather than later. The longer you wait, the harder it might be to find reasonable liquidity or low-fee options to swap out.
And like it or not, it looks like regulation is here to stay. Might as well adjust.