Tether CEO Paolo Ardoino defended the company’s choice not to pursue registration under the European Union’s Markets in Crypto-Assets (MiCA) framework, citing concerns about the regulations’ impact on stablecoins. Speaking at the Token2049 conference in Dubai, Ardoino emphasized Tether’s decision not to seek MiCA compliance for its USDt stablecoin, the largest in terms of market capitalization. He expressed apprehension about the potential consequences for exchanges if forced to delist the stablecoin due to non-compliance. Ardoino highlighted the challenges faced by crypto firms in the EU, pointing out the perceived risks associated with MiCA’s requirements. He raised concerns about the impact on the European banking system, cautioning that banks could face financial strain due to MiCA’s stipulations. Ardoino underscored his commitment to protecting Tether’s global user base and criticized the European Central Bank’s motives in promoting the digital euro. With the implementation of MiCA regulations in December 2024, Tether, headquartered in El Salvador, must adhere to the regulatory framework when offering services in EU member states. The aftermath of the regulations saw several crypto exchanges adjusting their listings to include MiCA-compliant tokens, with Kraken and Crypto.com delisting stablecoins like USDt. Ardoino also discussed Tether’s strategies for operating in the US, emphasizing the need for a different product approach in the competitive stablecoin market. He acknowledged the trend of nations accumulating Bitcoin reserves and expressed optimism about the long-term potential of Bitcoin adoption. Tether recently revealed exposure to $120 billion in US Treasuries in Q1 2025, with USDt boasting a market capitalization of around $149 billion as of May 1.