Coinbase’s move to delist some stablecoins this year could help the company’s bottom line, one analyst said. The cryptocurrency exchange operator said on Friday that it will delist stablecoins in Europe that do not meet regulatory requirements for crypto asset markets, and the famous EU cryptocurrency law will take full effect on December 30. “We have always been committed to compliant encryption products and services and continue to have the same goals with MiCA,” said a statement shared by CNBC. “We will share more details of our plans in November and will provide Affected (European Economic Area) customers are given the option to switch to stablecoins issued by appropriately authorized issuers, such as (USD Coin) and (Euro Coin). This will undoubtedly create challenges for Tether (USDT) over the years. The stablecoin leader has come under intense scrutiny for its lack of transparency and alleged exploitation by criminals, but it remains the most popular and accessible stablecoin thanks to its ubiquitous presence on global exchanges over the past decade. Coin. The U.S. dollar coin (USDC) issued by Circle will not be listed until 2018. This may be a boon for Coinbase. “Coinbase and Circle have a revenue sharing agreement – they share 50% of USDC revenue,” he said. “If USDC’s market capitalization increases, Coinbase’s revenue will also increase.” COIN YTD Mountain Coinbase has a negative rating this year Oppenheimer has a buy rating on Coinbase with a price target of $282, which is 65% higher than Friday’s closing price. Although the stock is up 118% over the past year, it is set to lose 1% in 2024, and there could be more downside in the future due to a lack of momentum in the cryptocurrency market and stagnant Bitcoin prices. “There is no doubt that the implementation of MiCA is positive for Coinbase,” Lau added. “The near-term challenges remain uncertainty around elections and geopolitical tensions, so expect near-term vulnerabilities. But after January 1, 2025, (MiCA will be a good key catalyst for Coinbase — — It should help the market capitalization of USDC, a cryptocurrency that promises a fixed value pegged to another asset and is widely seen as a killer app for cryptocurrency trading and as a platform for decentralized finance, or DeFi. ). USD-backed stablecoins have been hitting all-time highs in market capitalization.
Coinbase will delist some stablecoins in Europe this year | Real Time Headlines
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