Coinbase plans October 30 conversion of balances in fourteen restricted stablecoins

A deadline for restricted European balances

Coinbase has set October 30, 2026 as the next step for stablecoins it no longer supports for retail customers in the European Economic Area. Its official help page provides for conversion of balances still held on that date. Affected assets include USDT, DAI, PYUSD, USDS and PAXG. The announced scope covers retail customers served by Coinbase Luxembourg, rather than everyone holding these tokens worldwide.

The full list contains fourteen assets. Ordinary purchases, sales and conversions are already restricted; withdrawal remains the option offered to those who want to keep their tokens, where transfers are supported. Coinbase says conversion will take place at market rates, into USDC where suitable or another supported cryptocurrency or currency. This is therefore not a promise of a uniform conversion at a fixed rate for every listed asset.

MiCA governs the services available to customers

Coinbase’s own deadline follows an opinion published October 8 by the European Securities and Markets Authority. ESMA asks authorized providers to stop services involving stablecoins that do not comply with MiCA. Its text covers e-money tokens and asset-referenced tokens, which are distinct regulatory categories. The scope extends beyond trading pairs and includes order execution, transfers, custody and portfolio management, among other services.

For existing exposures, ESMA calls for remediation as soon as possible and no later than three months after its opinion. Services maintained during that period must be limited to liquidation, conversion, withdrawal, transfer or temporary safekeeping, under supervision. That regulatory period does not replace the date announced by each platform. Nor does Coinbase’s measure establish that personally holding these assets is prohibited everywhere: it concerns the services this intermediary can provide to its European customers.

Circle’s dollar token faces a separate supervisory framework

USDC, the expected destination for a large share of affected balances, is issued in the Union by Circle Internet Financial Europe. On October 14, the European Banking Authority classified it as the first significant e-money token under MiCA. From November 12, the EBA is due to take over parts of its supervision, including own funds, reserves, liquidity and redemption plans. France’s ACPR retains responsibilities including governance and conflicts of interest.

This classification strengthens the issuer’s obligations; it does not make a market-rate conversion risk-free. Nor does it change USDC’s reference currency, which remains the dollar. For affected customers, today’s verifiable details are the timetable, the assets covered and Coinbase’s published conditions. Tax consequences depend on individual circumstances and jurisdiction: the platform’s operational notice alone is not a tax assessment applicable to everyone.