Svmuu News: Paolo Ardoino, CEO of Tether, explained that the reason USDT has not applied for an EU MiCA license is that the regulation is “very dangerous for stablecoins.”
Ardoino said that MiCA might require stablecoin issuers to hold 60% of their reserves as uninsured cash deposits at small European banks, which may be unable to withstand large-scale redemption pressures.
He believes the MiCA legislation is “ill-conceived,” and that Tether’s decision not to apply for the relevant license is intended to protect its more than 400 million users. (Coin Bureau)