Tether, the issuer of the world’s largest stablecoin, will cease support for its euro-pegged stablecoin, EURt (EURT), across all blockchains.
Users are required to redeem their holdings by November 25, 2025, according to a statement released on November 27.
The company cited evolving regulatory frameworks in Europe, such as the upcoming Markets in Crypto-Assets (MiCA) regulation, as a key factor behind the decision. Tether has already halted minting new EURt tokens, with the last acquisition request for EURt processed in 2022.
“This decision aligns with our broader strategic direction, considering the evolving regulatory frameworks surrounding stablecoins in the European market,” the company stated, adding that community interest remains central to its token deployment decisions.
Launched in 2016, EURt was designed to provide a euro-backed stable asset for crypto markets, pegged 1:1 to the euro. However, with a market capitalization of just $27 million—0.02% of USDt’s market cap—EURt has seen limited adoption compared to its USD-backed counterpart.
Tether’s exit from the euro stablecoin space reflects growing regulatory scrutiny under MiCA, which is set to take full effect by the end of 2024. Tether CEO Paolo Ardoino has previously criticized the framework, suggesting it poses systemic banking risks for stablecoins.
Despite retiring EURt, Tether remains committed to investing in MiCA-compliant projects. This includes EURq and USDq stablecoins developed by Dutch fintech firm Quantoz Payments, supported by Tether alongside Kraken exchange and Fabric Ventures. These stablecoins will leverage Tether’s Hadron technology, which streamlines compliance, Anti-Money Laundering processes, and blockchain interactions for issuers.
While Circle’s EURC and Société Générale’s EURCV currently dominate the euro-stablecoin market with a 67% share, Quantoz’s EURQ tries to carve out its own presence. As part of MiCA compliance, Quantoz will retain 2% of the token supply on its balance sheet.
Tether recently announced partnerships with UAE firms Phoenix Group and Green Acorn Investments to launch its own dirham-pegged stablecoin.