The European Securities and Markets Authority has issued an opinion directing national competent authorities to ensure that authorised crypto-asset service providers cease providing EU clients with services involving asset-referenced tokens and e-money tokens that do not meet Markets in Crypto-Assets Regulation requirements. The supervisory expectation covers every MiCA crypto-asset service, regardless of whether a particular service itself constitutes an offer to the public or admission to trading, and builds on earlier guidance addressing noncompliant stablecoins. Providers should not maintain, introduce or facilitate access to these tokens and must use technical, contractual and organisational controls to prevent clients from acquiring them or increasing existing exposures. Warnings, disclosures and client acknowledgements are not considered sufficient because service providers cannot mitigate the risks created by the absence of MiCA issuer safeguards. National authorities should require remaining legacy exposures to be remediated as soon as possible and within three months. Residual services may continue only where needed for an orderly wind-down, including liquidation, conversion, withdrawal, transfer or safekeeping, and must be time-limited, risk-based and closely supervised.
European Securities and Markets Authority sets three-month deadline to end services involving non-MiCA-compliant stablecoins
The European Securities and Markets Authority expects authorised crypto-asset service providers to stop all EU client services involving non-MiCA-compliant stablecoins and prevent new or increased exposures. National authorities should require legacy exposures to be remediated within three months, allowing only tightly supervised services needed for an orderly wind-down.