Restrictions on access to USDT on regulated European platforms have not yet resulted in a noticeable global outflow from the largest stablecoin. This is indicated by data from Artemis Analytics cited by Cointelegraph, as well as an independent study by economists at LUISS University and the University of Surrey.
According to Artemis representative Alex Wesley, changes in European regulation have not led to a significant reduction in USDT supply or a large shift of liquidity across blockchains and trading venues.
“The data do not point to a significant change in the supply of or demand for USDT that could be directly linked to MiCA taking effect in Europe. [The regulation] did not cause a large migration across venues or networks,” he said.
Artemis’s conclusion is supported by research from Nicola Borri of LUISS University and Kirill Shakhnov of the University of Surrey. The authors analyzed the impact of USDT restrictions on European crypto exchanges and concluded that MiCA significantly changed trading structures on certain regulated venues but has hardly affected the aggregate market shares and trading volumes of the largest stablecoins.
European venues shift to USDC
On exchanges focused on the regulated European market, the effect was notable. After the USDT restrictions, the share of USDC relative to the pre-change period increased by 0.82 standard deviations, and the ratio of the Circle stablecoin’s trading volumes to its competitor’s rose by 0.54 standard deviations.
The authors linked the result primarily to reduced USDT trading on platforms where the token was removed or restricted for European clients. They did not find a comparable reallocation at the global level.
“Aggregate market shares and trading volumes hardly change,” the study says.
This helps separate two MiCA effects: the rules influenced asset choice within regulated European services but have not yet led to a comparable change in the global market structure.
USDT retains lead
Additional market data also do not show a sharp decline in USDT’s role after MiCA’s transition period ended. As of July 31, about 183.46 billion USDT were in circulation, and market capitalization was roughly $183.27 billion, according to CoinMarketCap historical data.
Independent Stablecoin Beat estimated Tether’s share of total stablecoin supply at 61.2% at the end of July. The overall market shrank by about 1.2% during the month, so the small decline in USDT supply did not occur in isolation.
These figures do not, by themselves, capture user “demand” in all its forms, but they do not indicate a global outflow from USDT after tighter European rules. Even before the transition period ended, Dune data showed that USDT and USDC together accounted for about 83% of the global stablecoin market. USDT remained the segment’s largest asset.
Activity grows outside Europe
Artemis noted that most on-chain activity with USDT continues to expand in regions outside the EU. According to the company, the number of daily users on BNB Chain grew from roughly 318,000 in June 2024 to 1.56 million in July 2026.
On Tron, the figure rose 44% over the same period to about 908,000 daily users. Wesley believes this trend reflects the broader uptake of digital dollars in global and emerging markets rather than a direct migration of users from Europe.
“There is no clear break in the on-chain data that coincides with MiCA,” he said.
USDT’s lead by market capitalization does not imply dominance across all metrics. In June, the adjusted stablecoin transfer volume reached a record $1.79 trillion. About $1.21 trillion, or 67%, was USDC.
USDT accounted for about $576 billion, or 32%.
The reporters also attributed the resilience of dollar-token usage outside the EU to the expansion of use cases not directly tied to crypto trading. As an example, they cited Argentina: local platform Lemon processed $9.3 billion in transactions in 2025—60% more than a year earlier.
The number of transacting users rose 70% to nearly 1.8 million, and stablecoin transaction volume increased 45%. Lemon representative Ignacio Jimenez noted that digital dollars are increasingly used for more than just a store of value.
“We are seeing a transition from stablecoins as a savings vehicle to stablecoins as financial infrastructure,” he said.
According to him, demand is increasingly driven by payments, cross-border transfers, and receiving funds from abroad.
Within Europe, the regulatory effect remains significant. The MiCA transition period for crypto platforms ended on July 1. Tether did not obtain European authorization for USDT, after which several regulated services restricted access to the asset.
For what the market can expect after the MiCA transition, read the separate article.
