EU Crypto Regulation Advances: Multiple Companies Secure MiCA Licenses

The European Union’s Markets in Crypto-Assets (MiCA) framework has taken a significant step forward, with several prominent cryptocurrency companies securing licenses to operate across the EU. MoonPay, BitStaete, ZBD, and Hidden Road have obtained the MiCA license from the Dutch Authority for the Financial Markets (AFM), while Socios.com has gained a license in Malta.

MiCA License: A Unified Rulebook for EU Crypto Firms

The MiCA framework, which came into effect on December 30, establishes a unified rulebook for crypto firms within the EU. A Crypto Asset Service Provider (CASP) license issued by one EU member state permits companies to extend their services across the bloc. This certification allows licensed companies to operate across the EU, providing a clear regulatory framework for the industry.

More Companies Line Up for MiCA License

MoonPay was one of the first international companies to receive the MiCA license in the Netherlands. Other companies, including BitStaete, a Dutch asset management firm, have since joined the list. Socios.com, a fan engagement platform, has also secured a MiCA license from the Malta Financial Services Authority (MFSA), enabling it to function as a regulated provider of virtual financial assets.

EU Countries Progress with MiCA Adoption

While the EU advances its MiCA framework, other countries are working to adopt the regulations by the official deadline. Malta has made significant progress, with Socios.com’s license approval being a notable example. Lithuania has also emerged as a hub for crypto firms aiming to comply with MiCA, with Bitget expanding its operations in the country.

UK Refines Crypto Regulation Approach

The UK is refining its own approach to crypto regulation, with the Financial Conduct Authority (FCA) aiming to finalize regulations by 2026. The FCA’s focus will be on stablecoins, which have been a subject of concern in the EU.

MiCA’s Impact on Stablecoins: A Critical Roadblock for Tether

The introduction of MiCA has raised concerns about its potential impact on stablecoins, particularly Tether’s USDT. Coinbase has restricted USDT transactions in the EU to align with MiCA regulations, and other exchanges have followed suit. However, analysts have dismissed concerns about the potential collapse of USDT, citing its global liquidity and operations.

Conclusion

The EU’s MiCA framework is advancing, with multiple companies securing licenses to operate across the bloc. As more countries implement MiCA, its long-term effects on the cryptocurrency industry will become clearer, particularly in areas like stablecoin regulation and cross-border operations. The industry will be watching closely as the regulatory landscape continues to evolve.

Source: Beincrypto.com

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