Tether, the world’s leading issuer of the stablecoin USDt (USDT) has declared that it will cease support for its EURt (EURT), a stablecoin pegged to the value of the euro. Users of the EURt token have been given until November 25, 2025, to redeem their holdings as part of this process. The firm stated that this decision aligns with their broader strategic direction, given the evolving regulatory frameworks relating to stablecoins in the European market.
First launched in 2016, EURt provided a stable asset in the volatile cryptocurrency market, with its value directly pegged to the euro at a 1:1 ratio. Currently, the EURt stablecoin has a market capitalization of $27-million, a minuscule 0.02% of its main US dollar-backed stablecoin USDt’s market cap.
The announcement emphasized the importance of community interest in decisions to deploy Tether tokens. Hence, EURt holders across all blockchains have till late November 2025 to redeem their holdings. The discontinuation of EURt support aligns with the impending implementation of regulatory guidelines concerning stablecoins in Europe.
The European Market in Crypto-Assets regulations, anticipated to take full effect by 2024’s end, has influenced Tether’s decision to drop EURt. Tether’s statement clarified that it would concentrate on other initiatives until a framework supporting innovation and user protection is established. Tether CEO, Paolo Ardoino, has previously critiqued these regulations for their potential to trigger systemic banking risks for stablecoins.
While discontinuing its euro stablecoin, Tether will support projects offering MiCA-compliant stablecoins, including Quantoz Payment’s EURq and USDq stablecoins. Tether has outlined plans to lend its technology solution, Hadron, to support issuers simplify stablecoin creation and management processes while enhancing blockchain interaction, compliance, and anti-money laundering measures. As Tether invests in such projects, it takes strides towards redefining financial possibilities and fostering a stable and inclusive financial ecosystem.