Kaiko: USDC will benefit from the EU's new digital asset regulations and seize USDT's market share
On June 19th, according to data from cryptocurrency analysis company Kaiko Research, Circle Internet Financial Ltd.'s USDC may be the biggest beneficiary of the new European digital asset guidelines, which will take effect in July. Anastasia Melachrinos, an analyst at Kaiko in Paris, said on a conference call on Tuesday that USDC is expected to take market share from larger competitor Tether Holdings Ltd.'s USDT. OKX has already taken action, changing its support for USDT trading in the EU earlier this year, canceling the ability to buy or sell other cryptocurrencies using the stablecoin. European users can still deposit and withdraw, trade over-the-counter, and convert it to euros. Last month, Kraken said it was "actively reviewing" plans that may include canceling support for USDT on its EU exchange, possibly under the upcoming EU guidelines MiCA. Melachrinos said Kraken and OKX will delist all EURO/USDT trading pairs. Kaiko data shows that the daily trading volume of the USDT/EURO trading pair on Kraken is about $4.3 billion, exceeding the trading volume of all other cryptocurrency/EURO trading pairs. The daily trading volume of USDC/EURO on Kraken is about $400 million. European regulators have been finalizing technical guidance for MiCA, which is expected to be fully implemented in early 2025.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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