Tether has announced its non-compliance with the European Union’s (EU) new MiCA framework, a move that has stirred debate in the crypto world. This decision stems from concerns regarding banking regulations and potential challenges posed by the EU’s digital euro project. Tether argues that its preference for US Treasury reserves over European banks presents a security risk, while the digital euro could impact privacy and potentially lead to financial tracking. These factors are driving Tether towards prioritizing growth in regions outside of Europe. The article explores Tether’s reasoning behind this stance, examines how it affects European stablecoin users, and investigates the broader implications for the future of crypto regulation globally.