Jasper De Maire: “Residents of the European Union will face restrictions on the use of stablecoins”

Jasper De Maere, in an interview with The Block, warned residents of the European Union that in the next few weeks or months there will be announcements from major exchanges and stablecoin issuers that they will no longer support dollar stablecoins in the EU. Once new pan-European regulations come into force, some companies may decide to cease operations in EU countries. This will limit investors' ability to access the digital asset market.

New legislation agreed by the European Community (MiCA) requires that only stablecoins that meet certain requirements be freely traded in Europe. To gain access to the market, issuers are required to license their activities for issuing electronic money (EMI), form a liquid reserve isolated from other assets of the company in a 1:1 ratio, and also place the reserve in custody with a third party.

Earlier, MakerDAO co-founder Rune Christensen said that the law on regulating cryptocurrencies in the European Union would prevent the full development of DeFi projects in the region and could throw European crypto companies into the “stone age.”