ESMA tells EU crypto firms to stop offering non-MiCA stablecoin services within three months
AI Market Summary
ESMA is directing EU-authorized cryptoasset service providers to stop offering services tied to non-MiCA-compliant stablecoins within three months, while forcing controls to prevent EU clients from increasing exposure. Although limited, supervised exit-only services may be allowed temporarily, the guidance raises near-term compliance and delisting risk across EU venues and intermediaries. This can tighten stablecoin liquidity, disrupt crypto trading rails, and weigh on broader market activity in Europe.
Impact level
● High
Affected assets
BTC/USDT-1.01%
AI Insight · BTC/USDTAI Insight
▼ Bearish
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EU-authorized crypto-asset service providers operating under the Markets in Crypto-Assets Regulation (MiCA) must stop providing services to EU clients involving stablecoins that do not comply with MiCA, the European Securities and Markets Authority (ESMA) said.
ESMA's guidance applies across core activities including trading platforms, exchange services, order execution, custody, transfers, investment advice and portfolio management. Firms are required to put technical, contractual and organizational controls in place to prevent EU clients from accessing these unauthorized stablecoins or increasing their exposure.
ESMA also said firms must address any existing exposures by no later than January 8, 2027. Regulators may allow narrowly defined, time-limited services—such as clearing, conversion, withdrawal, transfer and custody—to enable clients to exit current positions, subject to strict supervision.
The update builds on ESMA guidance issued in January 2025. (Cointelegraph)
