Heads up, crypto enthusiasts! Coinbase is gearing up for a major shift in Europe, and it's all because of some new rules that are about to shake up the crypto world. With the full rollout of the Markets in Crypto Assets (MiCA) regulations set for December 2024, Coinbase is making sure it's all set to play by the rules in the European Economic Area (EEA).
Come November 1, Coinbase will hit pause on its USDC rewards program for folks in the EEA. Why, you ask? Well, the new e-money token requirements are the culprits, as they’re tied to the much-anticipated MiCA regulations.
For those who’ve been raking in those USDC rewards, don't fret just yet. You can still earn interest right up until November 30. After that, the program will bid farewell, and you’ll have until December 13 to claim your well-earned rewards.
MiCA is like the EU’s grand plan to put some order in the crypto playground. It's a big deal, setting the stage for how crypto will be issued, traded, and serviced across all 27 EU countries. As a result, many crypto firms are scrambling to align their operations with these new rules.
Coinbase isn’t the only one making moves. Bitstamp has already waved goodbye to Euro Tether (EURt) because it didn’t make the MiCA cut. Meanwhile, Tether is cooking up some MiCA-friendly products after teaming up with a Dutch fintech company. They're also phasing out EURt, giving holders until late 2025 to cash out.
And here's a fun fact: While Norway, Iceland, and Lichtenstein aren’t part of the EU, they often tag along with EU regulations to keep things smooth in the market. So, even though they’re not MiCA-bound, they might just hop on the bandwagon for good measure.
So, stay tuned folks! The crypto landscape in Europe is about to get a whole lot more interesting.
