The European Central Bank has published the European System of Central Banks’ response to the European Commission’s targeted review of the Markets in Crypto-Assets Regulation, calling for amendments to address stablecoin risks, strengthen supervision of crypto-asset service providers and clarify the treatment of tokenised assets. While it considers MiCAR a robust harmonised framework, it says the rules need to account for new business models, cross-border activity and gaps exposed during implementation. For stablecoins, the response proposes replacing mandatory bank deposit shares with minimum liquidity buckets based on assets maturing within one and five working days, while retaining the ban on direct and indirect remuneration. It also supports continued direct issuance of e-money tokens by banks, stronger crisis management for significant non-bank issuers, broader grounds for binding central bank opinions and explicit legislation governing third-country multi-issuer schemes, including equivalence and reserve safeguards. Building on the ECB’s April 2026 opinion, it again supports transferring supervision of crypto-asset service providers to the European Securities and Markets Authority, introducing risk-sensitive capital requirements and applying consolidated oversight to significant providers and multi-function groups. The response also advocates EU regulation of crypto lending, borrowing and staking, while keeping tokenised deposits within banking law and tokenised financial instruments within existing financial services rules. It calls for harmonised definitions and urgent EU action on the property, corporate and insolvency treatment of tokens to prevent national fragmentation.

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