Despite regulatory uncertainty, Kraken maintains support for Tether (USDT) and denies intentions to delist it.
The top cryptocurrency exchange Kraken has categorically said that it has no intention of delisting Tether (USDT) in Europe, even if there are growing regulatory concerns about the cryptocurrency.
There are rising worries about the stability and compliance of stablecoins like Tether, which has led to the introduction of Kraken USDT support.
In light of the Markets in Crypto-Assets (MiCA) framework’s recent adoption by the European Union, exchanges are reevaluating their methods to guarantee compliance. Although Kraken is ready to address new regulatory requirements, Marcus Hughes, head of regulatory strategy worldwide for the exchange, made it clear that delisting Tether or changing its USDT trading pairs in Europe are not in the works at this time.
According to Hughes, Kraken will continue to support Tether and associated trading pairs and will not remove support for Kraken USDT at this time. Earlier reports indicated that Kraken would stop supporting Tether owing to regulatory constraints, thus this reassurance is a contrast.
Investor mood and market dynamics in the cryptocurrency ecosystem are affected by the exchange’s attitude, which is crucial. In light of the increased regulatory scrutiny of USDT and other stablecoins, Kraken’s stance offers some stability.
Kraken is completing preparations to establish a European headquarters in France or Ireland and is also increasing its regulatory footprint with the acquisition of TradeStation Crypto. By taking this step, it hopes to improve its service to European customers and increase its compliance with regulations.
As part of its strategy to keep up with changing regulatory environments without sacrificing liquidity or service quality for its European consumers, Kraken has decided to keep supporting Tether in the region.
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