How to cash out USDT to EUR after MiCA
USDT isn't authorized under MiCA, and the large EU exchanges restricted it between December 2024 and August 2026. You can still hold and transfer it. Converting it is where the rules bite, so check what a provider is authorized to do for you before you send funds.
By Pavel Skalin, Founder & CEO, Align · Reviewed by the Align compliance team
Updated · 4 min read
What changed
MiCA, the EU's crypto-assets regulation, only lets authorized issuers offer stablecoins to the public in the EU. Tether, which issues USDT, isn't authorized, and USDT doesn't appear on ESMA's register of authorized e-money token issuers. In September 2026 Tether's chief executive said the company had chosen not to apply, citing MiCA's rules on holding reserves in bank deposits.
In January 2025 the EU's securities regulator, ESMA, told national regulators it expected crypto-asset service providers to restrict services for non-compliant stablecoins "no later than the end of Q1 2025". Until then providers could offer "sell only" services, and ESMA added that "mere custody and transfer of these crypto-assets should remain possible".
The large exchanges restricted USDT for EU users between December 2024 and August 2026:
| Exchange | What changed for EU users |
|---|---|
| Coinbase | Trading and receiving USDT restricted from 13 December 2024 |
| Crypto.com | USDT purchases suspended on 31 January 2025; balances converted to a compliant stablecoin after 31 March 2025 |
| Kraken | USDT spot trading halted on 24 March 2025 |
| Binance | USDT spot pairs removed on 31 March 2025; deposits, withdrawals and Binance Convert kept |
| Revolut | USDT ended for EU users by 31 August 2026 |
On 1 July 2026 the last MiCA transitional period ended. A crypto-asset service provider serving EU clients now needs a MiCA authorization.
What a business holding USDT can still do
Hold it, or move it to your own wallet. MiCA applies to issuers and service providers, not holders. Your USDT doesn't become unlawful to own.
Convert it to an authorized stablecoin. Swapping USDT for USDC or EURC moves you into a token EU providers can trade, redeem and pay out. The swap itself is the restricted step: an EU provider that exchanges USDT for you is providing a service for a non-compliant token, which is what ESMA asked providers to stop.
Off-ramp to euros through a regulated provider. This is where most of the uncertainty sits. ESMA has said that exchanging non-compliant stablecoins for funds or other crypto-assets can amount to an offer to the public, which MiCA reserves for authorized issuers. Providers based outside the EU face a separate limit: under MiCA's reverse solicitation rules they generally may not provide services to EU clients, and ESMA reads the exception for clients who approach them on their own initiative narrowly.
The practical test: before you send funds, ask the provider which authorization covers the service it is providing to your company, in your country.
Step by step: USDT to euros in a bank account
- Ask counterparties first. If customers pay you in USDT, ask whether they can pay in USDC, EURC or euros instead. That removes the conversion step altogether.
- Check the provider. Confirm its authorization covers your company and this service. Look it up in ESMA's register or your national regulator's.
- Check the network. Send USDT on a network the provider supports. USDT on Tron and USDT on Ethereum aren't interchangeable.
- Send a test amount and confirm it arrives before sending the rest.
- Convert and withdraw. Withdraw euros by SEPA to an account in your company's name.
- Keep the records. Keep the on-chain transaction IDs, the conversion confirmation and the invoices or contracts behind the original USDT receipts. Your bank and your accountant will both want them.
Routes compared
| Route | Status in the EU | What to check |
|---|---|---|
| Hold or transfer USDT | Allowed; MiCA doesn't regulate holders | Your counterparties' and your bank's policies |
| Swap USDT for USDC or EURC, then redeem or sell for EUR | The swap is a service for a non-compliant token; USDC and EURC themselves are authorized | Which provider performs the swap, and under which authorization |
| Sell USDT directly for EUR with an EU provider | Restricted since the end of Q1 2025 | Whether the provider still offers it, and on what legal basis |
Accounting and tax
Converting USDT to another token or to euros can be a taxable event, depending on where your company is based and how it accounts for crypto-assets. Agree the treatment with your accountant before you convert large balances.
About Align
Align is registered with FINTRAC in Canada as a money services business. It isn't authorized under MiCA, and this guide is not an offer of crypto-asset services in the EU.
Sources
- ESMA, Statement on non-MiCA-compliant ARTs and EMTs (January 2025)
- ESMA, Q&A 2404
- ESMA, Statement on the end of MiCA transitional periods (April 2026)
- ESMA, Interim register of e-money token white papers
- ESMA, Guidelines on reverse solicitation under MiCA
- Circle, Circle is first global stablecoin issuer to comply with MiCA (July 2024)
- Decrypt, Coinbase Europe delists USDT
- Cointelegraph, Crypto.com to delist USDT in Europe
- DL News, Kraken delists USDT in Europe
- The Block, Binance to delist non-MiCA-compliant stablecoins
- Yahoo Finance, Tether USDT exits Revolut
- FinanceFeeds, Tether CEO on MiCA (September 2026)
Common questions
- Is it illegal to hold USDT in the EU?
- MiCA doesn't prohibit holding it. It regulates stablecoin issuers and crypto-asset service providers, not holders. ESMA's January 2025 statement said custody and transfer of non-compliant stablecoins should remain possible.
- Which stablecoins are authorized under MiCA?
- Those from issuers authorized in the EU. Circle has issued USDC and EURC in the EU under a French e-money license since July 2024. ESMA's interim register lists the authorized issuers and their tokens; check it for the current list.
- Can I still convert USDT on an EU exchange?
- The large exchanges restricted USDT for EU users between December 2024 and August 2026. Check the exchange's current terms and its MiCA authorization before relying on it.
- Will my bank accept euros that came from selling USDT?
- Banks set their own policies. Expect questions about the source of the funds for larger amounts, and keep records showing how you acquired the USDT and how it was converted.
This guide is general information, not legal, tax or financial advice. Rules and providers' terms change; check the sources linked above and take advice on your own situation.