Tether Explains Why It Decided to Discontinue Stablecoin EURT

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As a seasoned researcher with a keen interest in blockchain technology and digital finance, I find Tether’s recent move to discontinue EURT intriguing. The shifting market dynamics and evolving regulatory conditions in Europe seem to be shaping the stablecoin landscape significantly.

Tether, the company responsible for the creation of the world’s largest stablecoin, USDT, has declared that they will stop supporting their euro-linked stablecoin, EURT. This action is a response to changing market trends and adjusting regulations within the European Union.

Tether underlines that the interests of the community are crucial in their decision-making, always assessing their products to cater to users’ needs while balancing efficiency and sustainability. Though they haven’t produced EURT since 2022, they have officially decided to stop minting it altogether.

The company emphasized several points affecting their decision, among them being the difficult regulatory environment for stablecoins in Europe. Tether stated that the European Union’s regulatory system lacks the necessary stability and encouragement for innovation, which are crucial for the complete development of euro-backed stablecoins. Consequently, the company has decided to temporarily halt its EURT issuance and concentrate on projects that better fit its long-term plan.

In line with its fresh strategy, Tether is supporting initiatives such as Quantoz Payments’ EURQ and USDQ, which are MiCAR-compliant stablecoins. These tokens, built on Tether’s Hadron technology platform, are developed to adhere strictly to regulatory standards while providing strong features for both issuers and users.

Tether’s exclusive platform, Hadron, is designed to make it easier for companies to issue and manage digital tokens. In their words, Hadron serves as a user-friendly tool that facilitates the creation of stablecoins and tokenized assets, all while ensuring compliance with regulations like anti-money laundering (AML) laws. By adopting Hadron, issuers can convert various types of assets into digital form, such as fiat-backed stablecoins, stocks, bonds, and even rewards points.

Tether’s Hadron Platform: Tokenize Anything, Anywhere, Globally! We’re currently seeking beta testers. Regardless if you’re a financial institution like a banker, asset manager, hedge fund, pension fund, or even a national government, join us and shape the future of digital finance. Register now!

— hadron_tether (@hadron_tether) November 15, 2024

As a researcher, I’m advising all EURT holders: Please consider redeeming your holdings within the next one year, with the final deadline being 27 November 2025. Rest assured, our dedicated support team is here to help answer any questions you might have about the redemption process.

This month, Tether demonstrated its dedication to openness and security by collaborating with the Ontario Provincial Police (OPP) in the retrieval of misappropriated cryptocurrency. On November 8th, Tether revealed that they had collaborated closely with the OPP’s Cyber Investigations Team (CIT) to halt and recover approximately $10,000 CAD worth of stolen digital assets, which were later returned to their rightful owner.

Detective Staff Sergeant Addison Hunter from the OPP recognized Tether’s significant contribution to the investigation, saying that their cooperation played a crucial part in the return of the stolen funds. Tether’s CEO, Paolo Ardoino, reinforced their commitment to collaborating with law enforcement agencies worldwide, highlighting that such partnerships are vital for bringing wrongdoers to justice and assisting victims affected by cybercrime.

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2024-11-28 12:17