Altcoin bids farewell after Binance’s announcement: Users given deadline until August 30th
The European stablecoin provider, Lugh, has announced the discontinuation of its Euro-pegged stablecoin, EURL, in response to the implementation of the European Union’s Crypto Asset Markets Directive (MiCA). In a statement on its website, the company confirmed that it will repurchase existing EURLs until August 30, 2024.
This move comes after Binance, the world’s largest cryptocurrency exchange, revealed plans to restrict the availability of “unregulated” stablecoins in the EU. While Binance did not specifically mention major stablecoins like USDT and USDC, concerns are growing that European citizens may face limitations in accessing these popular tokens due to MiCA.
The circulation of Lugh’s EURL token has significantly declined in recent months. DefiLlama data shows a drop from around $2.8 million in March to approximately $32,000 today, indicating that most holders have likely exchanged their tokens for cash.
Lugh has provided a refund option for token holders on its website, assuring users that all EURLs are and will continue to be guaranteed 1:1 by its reserve account at Société Générale, which is audited monthly by Deloitte.
*This article does not constitute investment advice.
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