- Crypto.com has notified that their Canadian customers that it would not support Tether after January 31.
- As per the notifying email, it will delist and suspend all USDT transactions.
- Crypto.com has asked clients to take the actions, according to the notice.
In an email to the customers, Crypto.com shared that it has decided to delist Tether in accordance with Canada’s regulations. The crypto application notified their Canadian customers in an email saying that it would not support Tether as of January 31.
Specifically, Crypto.com sent an email to its customers, stating:
Please take urgent action to review your USDT balance and take any necessary action (eg. withdrawal or conversion) before the effective date.
The email also informed that the firm would not support trading, deposits, or withdrawals of USDT and would not allow any credit of USDT after the aforementioned date. The remaining USDT balances will be automatically converted into USDC, according to Crypto.com’s email.
The move comes after Canadian Securities Administrators (CSA) toughened its stance on crypto and stablecoins regulation, last year in December. The CSA hinted that it may categorize stablecoin as derivatives or securities.
CSA had also stated that registered crypto exchanges would be responsible for setting up their own systems and procedures to categorize a digital asset as a security or derivative.
As per data, Tether has established itself as the world’s largest stablecoin and has a circulating supply of 66.3 billion USDT, trading at $0.999967, at press time. Thus, the stablecoin holds a market share of 48%. Also note that the total market capital of stablecoins is $137 billion which is equivalent to 15.4% of the whole crypto market cap.