Tether Shifts Focus to Hadron Amid $EURt Delisting
Thether delisted its $EURt token in Europe in favor of new digital assets, to comply with MiCAR. Hadron by Tether is their new platform.
Tether is the largest company in the digital asset industry. MiCAR has put plenty of new European regulations in place. Amid these new regulations, Tether announced that it will delist $EURt.
Instead, it will move forward with digital assets from Hadron by Tether. These include, among others, $EURQ and $USDQ. So, we look a bit closer to what is going on at Tether and its $EURt token.
MiCAR, Tether, and the $EURt.
MiCAR is short for Markets in Crypto-Assets Regulation. It’s part of a new set of European laws to regulate digital assets. MiCAR aims, among others, to,
- Protect investors and consumers.
- Mitigate risks to financial stability.
- Promote innovation.
- Enable the potential of crypto assets.
- Ensure financial stability.
- Create a harmonized regulatory framework.
Among its activities, it regulates, for instance:
- The issuance of crypto assets.
- Custody and administration of crypto assets.
- Operating crypto-asset trading platforms and exchanges.
- Authorizing and supervising crypto asset service providers (CASPs). This goes hand in hand with authorizing issuers of crypto assets.
- Preventing market abuse on cryptocurrency exchanges.
On the other hand, Tether is the largest company in the digital asset industry. You may know them as the issuer of $USDT. Now, $USDT is the largest stablecoin measured by market cap . Its market cap is well over 3x bigger than $USDC’s market cap. $USDC takes second place on this list. In Europe, they issued the $EURt token. However, Tether has delisted the $EURt in favor of other digital assets.
Tether’s decision to delist EURt has not been taken lightly, but until a more risk-averse regulatory framework in Europe is in place—one that fosters innovation, offers the stability and protection our users deserve and avoids potential banking systemic risks—we have chosen to… https://t.co/WQWAeMwpbD
— Paolo Ardoino 🤖🍐 (@paoloardoino) November 27, 2024
It seems that Tether is not that charmed by MiCAR. As one of the reasons for delisting, it mentioned;
“until a more risk-averse regulatory framework in Europe is in place—one that fosters innovation, offers the stability and protection our users deserve, and avoids potential banking systemic risks—we have chosen to prioritize other initiatives.”
As a result, Tether invested in Quantoz Payments . After all, it doesn’t want to lose its market share in Europe. This allows them to launch the $EURQ and $USDQ tokens. On 14th November, Tether launched Hadron by Tether . This platform makes it easier and simpler to tokenize any real-world assets. For instance, stocks, bonds, and also stablecoins.
Tether’s Transparency
However, Tether has a history of not being transparent, that keeps following them. This boils mostly down to their audits, or rather, lack of audits. Tether hasn’t yet proved that all its issued stablecoins have collateral. At best, they offer quarterly reporting. Note, these reports are not audits. Furthermore, these reports boil down to a ‘trust us’ message.
So, looking at the $EURt delisting from this perspective, it shows a different picture. You can also see this as Tether trying to avoid scrutiny.
Tether’s decision-making process is looking more like a smoke screen every time they release statements like this. Delisting EURt under the guise of ‘regulatory risk’ is a joke when we all know it’s about controlling the narrative and avoiding scrutiny. Hadron sounds like another…
— Tommy Famous (@TommyBeFamous) November 27, 2024
Conclusion
Tether delisted their $EURt token in Europe. MiCAR is part of the new European legislation to regulate digital assets. Tether now launched Hadron by Tether. This platform can tokenize real-world assets, among others, stablecoins. However, Tether’s non-transparency keeps following them. As a result, it may put some question marks about the real reason for delisting $EURt.
Disclaimer
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment and informational purposes only. Any information or strategies are thoughts and opinions relevant to accepted levels of risk tolerance of the writer/reviewers, and their risk tolerance may be different from yours.
We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments, so please do your due diligence.
Copyright Altcoin Buzz Pte Ltd.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Stablecoin Tether (USDT) Gets License in Abu Dhabi; Details
Can Solana (SOL) Lead This New Market Rebound?
Apple partners with Broadcom to develop “Baltra,” its first in-house AI server chip
Bitcoin Shows Signs of Maturity with Reduced Volatility and Smaller Drawdowns