Tether goes all the way, and the ECB backs down first. It refuses to apply for MiCA because 60% of reserves must be kept in banks; now the ECB proposes to scrap that rule, and the reason is still the risk to bank stability. Did the rules get drafted on the spur of the moment? Keeping stablecoin reserves in banks turns all the books into bad debts the moment a liquidity crisis hits. The market wasn’t wrong—regulators finally wake up.

$USDT #MiCA