CEO Brian Armstrong noted that this may be necessary if the future regulations require stable currencies to retain asset reserves in US Treasury bonds and undergo regular audits.
Coinbase has stated that it might remove the stable Tether currency from its platform, depending on how American regulations have evolved during President Donald Trump’s era. CEO Brian Armstrong stated that the stock exchange may be so to cross out The stable currency associated with a value of $ 138 billion if American laws request that. Armstrong suggested that future stable currency regulations may require keeping the asset reserves in treasury bonds and undergoing regular audit operations to protect customers.
Tether, which dominates the stable currency market before competitors such as Circle’s USDC and Ripple’s Ripple USD, previously deleted from the European Coinbase because it did not comply with the European Union MICA work frame. The Tether operator, which maintains 80 % of its reserves in the treasury bonds, publishes regular financial certificates by an independent accounting company, BDO ITALIA, to address concerns that were raised after the market decline in 2022.
Despite these updates, critics say certificates do not fully replace audits. Tether’s commitment to possible new US regulations remains uncertain. The company works mainly in emerging markets and plans to transfer its global headquarters to El Salvador, the first country to codify Bitcoin coins.
