Coinbase to convert EU retail USDT, PYUSD, USD1 balances Oct. 30

Key points

• Coinbase will convert 14 MiCA-restricted tokens for EEA retail users on Oct. 30, 2026
• Affected assets include USDT, PayPal's PYUSD and World Liberty's USD1
• Deposits after Oct. 30 are not credited; recovery above $100 carries a 5% fee
• ESMA's Oct. 8 opinion gives national authorities three months to address exposures

Coinbase will automatically convert 14 stablecoins and related tokens held by retail customers in the European Economic Area on Oct. 30, 2026, giving users three days from Tuesday’s announcement to withdraw them or accept conversion, according to CryptoSlate.

The list includes Tether’s USDT, PayPal’s PYUSD and USD1, the stablecoin issued by Trump-linked World Liberty Financial. CryptoSlate reported that the other affected assets are DAI, PAX, GUSD, GYEN, BUST, UST, RAI, PAXG, MUSD, USDS and TGBP.

What EU customers can do before Oct. 30

Customers can move the affected holdings to a supported external wallet before the deadline. Balances left on the platform will be converted at prevailing market rates into Circle’s USDC or another supported asset or currency, where suitable, CryptoSlate reported. Because the conversion follows market prices, holders of non-dollar assets such as yen-tracking GYEN or gold-backed PAXG may see results that differ from a one-to-one swap.

Coinbase has already blocked buying, selling and converting these assets for the affected users, according to the report. The company also warned that conversions may create tax obligations in some jurisdictions. The report did not give a cutoff hour or time zone for Oct. 30.

Late deposits will not be credited

Assets sent to Coinbase after Oct. 30 will not be credited, cannot be traded or transferred, and are excluded from automatic conversion, CryptoSlate reported. Coinbase said it may be possible to recover them through its unsupported-asset recovery service, but does not guarantee it. Under Coinbase’s published terms, as cited by CryptoSlate, recovered assets above $100 carry a 5% fee plus network fees.

The regulatory backdrop

Coinbase points to the EU’s Markets in Crypto-Assets Regulation (MiCA). CryptoSlate reported that Coinbase says the transitional period for stablecoin issuers ended July 1, 2026, without an extension.

On Oct. 8, 2026, the European Securities and Markets Authority (ESMA) published an opinion on services tied to stablecoins that do not comply with MiCA. ESMA said MiCA-authorized crypto-asset service providers should stop offering such services to EU clients, including trading, exchange, custody, transfers and portfolio management.

The opinion also said national authorities should ensure firms do not maintain, introduce or facilitate access to these tokens. Where exposures exist, authorities should require remediation no later than three months after publication, which points to roughly Jan. 8, 2027. ESMA said any continued service must be limited to winding down or moving the assets, such as liquidation, conversion, withdrawal, transfer or safekeeping, and be time-limited and closely supervised.

What happens next

Coinbase’s Luxembourg subsidiary serves EEA customers under a MiCA authorization, according to CryptoSlate. The company said it will keep reviewing restricted tokens, and support could return if issuers obtain approval, though past conversions would not be reversed. Coinbase has not disclosed the total value of the affected holdings, CryptoSlate said. The outlet also suggested the move could benefit Circle’s USDC at the expense of Tether, an assessment rather than a result Coinbase has reported.