France's Ministry of Economics and Finance has published joint proposals from the Directorate General of the Treasury, the Financial Markets Authority, the Bank of France and the Prudential Supervision and Resolution Authority for revising the European Union's Markets in Crypto-Assets Regulation (MiCA). Submitted in the context of the European Commission's consultation, the proposals seek to expand the use of euro stablecoins and tokenized bank deposits, strengthen European supervision and establish a proportionate framework for decentralized finance. The proposals support greater use of euro stablecoins and tokenized bank deposits for payments with countries outside the EU and for tokenized finance. EU-authorized providers would be prohibited from offering services involving stablecoins that fail to meet MiCA requirements. Issuance of fungible stablecoins both within the EU and in third countries would be subject to equivalence assessments, supervisory cooperation and additional safeguards for reserves and redemption rights. The authorities also stress that stablecoin development should preserve the privileged role of wholesale central bank money, including in digital form, in settling financial asset transactions. The European Securities and Markets Authority would take a stronger supervisory role over crypto asset service providers and the crypto activities of conglomerates. Prudential requirements would be better aligned with risks, alongside coordinated action against unauthorized providers. For decentralized finance, the proposed framework would assign clear responsibilities to intermediaries, impose tailored due diligence obligations and require protocol certification. The authorities also seek clearer rules for staking, crypto asset lending and borrowing.

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