Tether CEO Paolo Arduino expressed concern that MiCA regulation in the EU could pose a threat to stablecoins and the banking system According to MiCA, at least 60% of stablecoin reserves must be held in bank accounts in the EU. Arduino pointed out that financial institutions operate on a partial reserve basis, so only part of the deposits are available for withdrawal at any time. He also noted that in the EU, cash deposits are insured only for up to $ 100,000.