started · updated
ESMA mandates EU crypto firms to phase out non-compliant stablecoins
The European Securities and Markets Authority (ESMA) has issued guidance requiring crypto-asset service providers (CASPs) within the European Union to cease services related to stablecoins that do not comply with the Markets in Crypto-Assets (MiCA) regulation. This directive targets asset-referenced tokens and e-money tokens that lack MiCA authorization, notably impacting large tokens such as Tether’s USDT and PayPal’s PYUSD.
National regulators have been given a three-month window to oversee the remediation of existing customer exposures, with a final deadline set for January 8, 2027. During this period, firms are prohibited from facilitating new purchases, marketing, or increasing exposure to non-compliant tokens. Permitted activities are strictly limited to essential wind-down functions, including liquidation, conversion to compliant tokens (such as USDC), withdrawals, and transfers to private wallets.
Separately, ESMA has launched a call for evidence regarding the use of tokenized collateral in central clearing. The regulator is seeking to determine if current frameworks under the European Market Infrastructure Regulation (EMIR) are sufficient to ensure that clearinghouses can effectively access and liquidate tokenized assets during periods of market stress or member defaults.
Entities
Circle · European Securities and Markets Authority · European Union · MiCA · PayPal · Tether
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 4 SOURCES] Tether’s USDT is a major stablecoin currently operating outside of MiCA authorization. ambcrypto.com · www.btc-echo.de · www.cryptopolitan.com
- [○ 1 SOURCE] The deadline for stakeholders to respond to ESMA’s call for evidence on tokenized collateral is January 15, 2027. cryptobriefing.com
- [● 2 SOURCES] ESMA is examining whether token transfers confer enforceable rights over underlying assets. www.cryptobreaking.com · cointelegraph.com
- [● 6 SOURCES] The deadline for clearing remaining exposure to non-compliant stablecoins is January 8, 2027. zpravy.kurzy.cz · www.tronweekly.com · ambcrypto.com · www.btc-echo.de · www.cryptopolitan.com
- [○ 1 SOURCE] The MiCA regime for stablecoins began applying on June 30, 2024. ambcrypto.com
- [● 6 SOURCES] ESMA has instructed EU crypto firms to stop providing services for non-MiCA-compliant stablecoins. zpravy.kurzy.cz · www.tronweekly.com · ambcrypto.com · www.btc-echo.de · www.cryptopolitan.com
- [● 3 SOURCES] ESMA is conducting a call for evidence on the use of tokenized collateral in central clearing. www.cryptobreaking.com · cryptobriefing.com · cointelegraph.com
- [● 2 SOURCES] Authorized CASPs must implement technical and organizational controls to prevent new exposure to non-compliant tokens. www.tronweekly.com