Key facts
- ESMA has given EU crypto firms three months to stop services involving non-MiCA-compliant stablecoins.
- National regulators must ensure firms address existing exposures to non-compliant stablecoins by January 8, 2027.
- The guidance applies to MiCA-regulated crypto services including trading, custody, and portfolio management.
- Firms must implement controls to prevent clients from increasing exposure to unauthorized stablecoins.
- Limited services for exiting existing positions, such as liquidation and withdrawal, may be permitted under supervision.
The European Securities and Markets Authority (ESMA) has issued guidance requiring crypto-asset service providers (CASPs) authorized under the Markets in Crypto-Assets Regulation (MiCA) to cease providing services related to stablecoins that do not comply with MiCA. This directive sets a deadline of January 8, 2027, for these firms to address any remaining exposures to such non-compliant stablecoins.