Digital banking platform Revolut has informed a subset of European account holders that it will completely drop support for USDT by August 31, 2026, citing the European Union's Markets in Crypto-Assets regulation (MiCA). Tether's USDT currently lacks MiCA authorization, pushing exchanges and custodians to delist the stablecoin ahead of the compliance deadline.
Three-phase wind-down schedule
According to Revolut's email and in-app notification to affected customers, the phase-out follows a strict calendar: no new USDT purchases after July 6, 2026; no new USDT deposits after July 30, 2026; and users may only sell or transfer existing balances until August 31, 2026, at 12:00 GMT. After that cutoff, Revolut will automatically convert any remaining USDT into the user's primary fiat currency at the prevailing market rate.
Revolut stressed that only customers who received the notification are subject to this change. Users in other regions where USDT remains supported can continue trading normally.
MiCA compliance reshapes European stablecoin access
The decision stems directly from MiCA, which came into force on July 1, 2026, imposing unified licensing, transparency, and reserve rules across the EU. USDT has not secured MiCA approval. Tether CEO Paolo Ardoino has previously argued that the framework was not designed for the world's largest stablecoin, citing concerns over reserve requirements and redemption risks. Revolut joins a growing list of European crypto platforms restricting USDT access as regulatory scrutiny tightens.
Tether's sanction compliance highlights broader risks
Separately, Tether recently froze USDT balances in 131 TRON-based wallets linked to the Horasan Province group, following updated sanctions from the U.S. Treasury. While unrelated to MiCA, the action demonstrates Tether's ability to freeze tokens on request—adding another layer of regulatory complexity for stablecoin holders and platforms.