MiCA Effect: Tether discontinues support for EURt Euro Stablecoin, Circle founder supplements: Everyone uses EURC

Tether, the issuer of the world's largest stablecoin USDt by market capitalization, has announced that it will stop supporting its euro-pegged stablecoin EURt and has requested all holders to redeem their tokens by November 25, 2025. In a recent announcement on November 27, Tether stated that it will cease on-chain issuance of EURt and will no longer accept new issuance requests. The current market capitalization of EURt is only $27 million, accounting for only 0.02% of Tether's total market capitalization. Tether emphasized that this decision aligns with its broader strategic direction and aims to focus resources on developing stablecoin projects that comply with the latest regulatory requirements. This decision by Tether is closely related to the increasingly strict stablecoin regulatory framework in Europe, particularly the upcoming Markets in Crypto Assets Regulation (MiCA) that will come into effect at the end of this year. Tether CEO Paolo Ardoino has previously criticized the MiCA regulation, stating that it may pose systemic risks to the stablecoin market, but the company had to make adjustments in response to the legal requirements. Tether has announced that it will prioritize supporting new stablecoin projects that comply with the MiCA regulation and has already started collaborating with Dutch fintech company Quantoz to launch EURq and USDq stablecoins, claiming to ensure compliance and anti-money laundering measures. Meanwhile, Circle, one of Tether's biggest competitors, co-founder Jeremy Allaire, stated in a recent post that EURC is one of the largest euro-pegged stablecoins in the market and has experienced rapid growth this year, indicating a strong competition against Tether. EURC operates in compliance with clear European regulations, and its volume and on-chain forex usage have been increasing. More and more exchanges and wallets have supported EURC. According to data, the current market capitalization of EURC is about $90 million, more than three times that of EURt.