Tether, the company behind USDt (USDT), the world’s leading stablecoin by market capitalisation, has announced the discontinuation of its euro-backed stablecoin, EURt. The firm is advising users to redeem their EURt holdings within the next year.
In a statement issued on 27 November, Tether confirmed it will no longer support EURt on any blockchain, ceasing its issuance entirely. The decision follows the company’s strategic reassessment, with the final requests for EURt acquisitions having been processed in 2022. No new minting of the token will take place moving forward.
“This step reflects our broader strategy, particularly in light of the developing regulatory landscape for stablecoins in Europe,” Tether noted in its announcement.
Redeem by November 2025
Launched in 2016, EURt was designed to maintain parity with the euro, offering a stable digital asset in the often volatile cryptocurrency market. However, EURt’s current market capitalisation stands at $27 million — a fraction of Tether’s flagship USDt, which dominates the market.
Tether is advising EURt holders across all platforms to redeem their assets by 25 November 2025.
Regulatory Shifts Behind the Move
The decision to wind down EURt is closely tied to the evolving regulatory framework in Europe, particularly the European Markets in Crypto-Assets (MiCA) Regulation. MiCA, which is expected to be fully implemented by the end of 2024, has prompted Tether to reassess its European offerings.
Tether stated, “Until regulatory frameworks evolve to better balance risk mitigation with innovation, we are focusing our resources on other strategic initiatives.”
Paolo Ardoino, Tether’s CEO, has been openly critical of MiCA, arguing that the regulation could introduce systemic risks to the banking sector in relation to stablecoins.
Focus on MiCA-Compliant Innovations
Despite phasing out EURt, Tether remains committed to developing MiCA-compliant solutions. The firm has announced support for new stablecoin projects, including EURq and USDq, developed by Dutch fintech firm Quantoz Payments.
Tether, along with Kraken exchange and Fabric Ventures, confirmed its backing for these stablecoins earlier in November 2024. These initiatives will utilise Tether’s Hadron technology, a solution designed to streamline the creation and management of stablecoins while integrating compliance and anti-money laundering mechanisms.
Through such projects, Tether aims to foster a stable and inclusive financial ecosystem. “By investing in innovative solutions, we’re not just advancing technology — we’re creating a more adaptable and user-centric financial landscape,” the company stated.
Tether’s strategic pivot underscores the challenges and opportunities presented by Europe’s regulatory environment, while reaffirming its commitment to delivering robust and compliant financial products.
