Coinbase USDC Earn Program Stops Supporting EEA Users From December 1

Key Points:

• Coinbase USDC earn program will be discontinued for EEA users starting December 1 due to compliance with the EU’s upcoming MiCA regulations.
• MiCA introduces stricter rules for stablecoins, prompting companies to remove or delist non-compliant tokens.

Coinbase will no longer reward users in the European Economic Area for holding USDC with the platform from December 1 due to changes put in place for the arrival of the European Union’s forthcoming Markets in Crypto-Assets regulations.

Read more: Coinbase CEO Brian Armstrong And Trump Had Private Meeting To Discuss Crypto Policy

Coinbase USDC Earn Program Ends In Europe Amid Regulatory Shift

Until November 30, EEA users can continue the Coinbase USDC earn program. Coinbase confirmed that final payments will be distributed within the first ten business days of December. The change, initially reported by Cryptoslate, stems from new rules for electronic money tokens, which include stablecoins like USDC.

Currently, the Coinbase USDC earn program encompasses more than 100 jurisdictions, offering different APYs depending on the user’s location and USDC holding per day.

MiCA Rules Force Crypto Companies to Adapt to the EEA

MiCA will establish a single regulatory environment for digital assets in the EU, bringing major changes within the crypto industry.

In line with such requirements, Coinbase announced in October that it would delist all uncompliant stablecoins in MiCA-regulated regions. Other firms have also taken action over the changing regulatory environment. For instance, Bitstamp removed Tether’s EURT, a euro-pegged stablecoin, for not meeting the requirements under MiCA.

The issuer of EURT, Tether, is also adapting by ending the support of the stablecoin in order to focus resources on developing new MiCA-compliant tokens like the EURQ and USDQ.

The MiCA framework seeks to increase transparency and stability in the crypto market, forcing businesses to review their operations for compliance. These changes are the turning point for cryptocurrency in Europe, and firms such as Coinbase are already acting on notice to comply with the new regulations.