MiCA Squeezes USDT Out of Europe, But Global Demand for Tether Barely Budges

Europe’s crackdown on Tether’s USDT is intensifying, with platforms like Revolut delisting the token after Aug. 31 to comply with the EU’s Markets in Crypto-Assets regulation. Yet according to Artemis Analytics, the squeeze hasn’t dented global USDT activity. Alex Weseley, the firm’s research and data lead, says the numbers show no meaningful shift in USDT supply or demand tied to MiCA, with no major venue or chain migration triggered by the rule change.

Stablecoins Are Becoming Financial Plumbing

Part of the reason is that dollar stablecoins now function as everyday financial infrastructure well beyond Europe. In Argentina, platform Lemon processed $9.3 billion in volume in 2025, up 60% year-over-year, with users growing 70%. Lemon’s Ignacio Gimenez says stablecoin use is shifting “from a store of value to financial infrastructure,” driven by payments and cross-border transfers rather than savings alone.

Regulation Changes Access, Not Demand

WeFi CEO Maksym Sakharov argues MiCA is reshaping how Europeans access dollar stablecoins, not the underlying demand itself, since liquidity and network effects matter more than platform availability. OKX Europe’s Erald Ghoos notes his platform dropped USDT support two years ago, softening MiCA’s impact. He adds that institutional interest in euro-denominated stablecoins is growing, though the dollar’s dominance in crypto remains largely unchallenged.