Primary Reason: MiCA Compliance

Revolut is delisting Tether (USDT) for users in the European Economic Area (EEA) effective August 31, 2026. This decision is a mandatory compliance measure driven by the full enforcement of the European Union's Markets in Crypto-Assets (MiCA) regulation, rather than a lack of market demand.

Primary Reason: MiCA Compliance

The EU's MiCA regulation, which entered full enforcement on July 1, 2026, imposes strict requirements on stablecoin issuers that Tether has not met. As a licensed Crypto Asset Service Provider (CASP) in the EU, Revolut is legally prohibited from offering non-compliant tokens to EEA customers [Source: https://finance.yahoo.com/news/revolut-secures-mica-license-cyprus-160103192.html].

Key regulatory hurdles include:

• Reserve Requirements: MiCA mandates that stablecoin issuers hold at least 60% of their reserves in cash deposits at EU-regulated banks [Source: https://www.esma.europa.eu/sites/default/files/2024-03/ESMA75-453128520-2045_MiCA_Consultation_Paper_on_Draft_RTS_on_the_content_of_the_white_paper_for_ARTs.pdf]. Tether leadership has criticized this rule, arguing it introduces systemic banking risk.
• Audit Standards: MiCA requires full independent audits. Tether has relied on quarterly "attestations" and has not completed a full independent audit since promising one in 2017 [Source: https://consumersresearch.org/tether-letter-to-governors/].

Delisting Timeline for Users

Revolut users must manage their USDT holdings according to the following schedule to avoid automatic liquidation:

Note: Any USDT remaining after the August 31 deadline will be automatically converted to the user's base fiat currency at prevailing market rates [Source: https://cointelegraph.com/news/revolut-delist-tether-usdt-mica-compliance].

Alignment with Market Demand

While USDT remains the global leader with a market cap exceeding $184 billion [Source: https://coinmarketcap.com/currencies/tether/], the delisting coincides with a shift in European demand toward compliant alternatives.

• Growth of Compliant Stablecoins: The market cap for Euro-pegged stablecoins (such as EURC) reached approximately $900 million in mid-2026, up from $195 million in 2023 [Source: https://cryptorank.io/news/euro-stablecoin-market-doubles-to-680m-a-year-after-mica].
• Institutional Adoption: Transaction volumes for MiCA-compliant stablecoins in the EU surged by over 1,000% post-regulation, driven by institutional payment rails.
• Market Fragmentation: A "two-tier" market has emerged where USDC (which is MiCA-authorized) dominates regulated European venues, while USDT remains restricted to offshore and decentralized (DeFi) platforms.

For continued stablecoin exposure on Revolut, users are typically directed toward MiCA-compliant options like USDC or EURC.