Summary:
StablR and Oobit, backed by Tether, launch MiCA-compliant stablecoins in Europe.
Oobit integrates StablR’s EURR and USDR, offering 5% cashback in rewards.
Tether’s EURT exited Europe due to MiCA compliance issues, creating a market gap.
Exchanges like Binance and Kraken delist USDT in the EEA to comply with MiCA.
StablR holds an EMI license from Malta, enabling regulated stablecoin issuance.
Tether-Backed Startups Introduce MiCA-Compliant Stablecoins in Europe
In a significant move, StablR and Oobit, two startups backed by Tether, have launched a MiCA-compliant stablecoin initiative in Europe. This development comes as Tether, the issuer of the world's largest stablecoin USDT, reduces its presence in the European market due to compliance issues with the Markets in Crypto-Assets (MiCA) regulations.
The Initiative: StablR and Oobit Join Forces
- StablR is introducing euro- and dollar-pegged stablecoins (EURR and USDR) that comply with MiCA.
- Oobit, a crypto payments app, will integrate these stablecoins, enabling users across the European Union to spend and save in regulated digital assets.
- Users will receive 5% cashback in stablecoin rewards for using EURR or USDR.
Why This Matters
Tether's EURT, once a dominant player in the euro stablecoin market, was pulled from Europe last year due to MiCA compliance challenges. This left a gap that MiCA-compliant stablecoins like Stasis’ EURS, Circle’s EURC, and Société Générale’s EURCV have started to fill.
The Bigger Picture
- Exchanges like Binance and Kraken are delisting USDT in the European Economic Area (EEA) to comply with MiCA.
- StablR has secured an Electronic Money Institution (EMI) license from the Malta Financial Services Authority, allowing it to issue fully regulated stablecoins in Europe.
- Tether’s Hadron platform will support StablR’s compliance, including regular audits of its asset reserves.
Oobit’s Role
Launched in 2017, Oobit is a tap-to-pay mobile app that integrates with iOS and Android, leveraging Visa and Mastercard point-of-sale systems. The app aims to make crypto a primary medium of exchange.
Funding and Backing
- Oobit raised $25 million in a Series A round led by Tether last year.
- Other investors include CMCC Global's Titan Fund, 468 Capital, and Solana co-founder Anatoly Yakovenko.
This initiative marks a strategic pivot for Tether, ensuring its continued relevance in Europe’s evolving crypto regulatory landscape.
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