EU weighs MiCA changes in 2027 amid US stablecoin push
Homepage>News>Business>EU weighs MiCA changes in 2027 amid US stablecoin pushThe European Union appears set to revise and broaden the scope of its landmarkMarkets in Crypto-Assets (MiCA) regulationto. . .
Homepage>News>Business>EU weighs MiCA changes in 2027 amid US stablecoin pushThe European Union appears set to revise and broaden the scope of its landmarkMarkets in Crypto-Assets (MiCA) regulationto cover non-EU issuers, in light of market developments and an increasing push from the United States for stablecoins, according to a Euronewsreport. The European Commission, the executive arm of the EU,launcheda targeted consultation on May 20 aimed at digital assets industry representatives (such as crypto-asset service providers and issuers) and public authorities (e. g. , national or European supervisors, central banks, and Ministries of finance), to assess whether the MiCA regulation remains “fit for purpose. ”According to an August 8 Euronews report, an unnamed EU diplomat told the outlet that “reopening the file seems unavoidable at this stage, not only in light of the position expressed by several European institutions (not least the ECB), but also to cater for the most recent regulatory and technological developments worldwide. ”One potential area for revision ishow MiCA deals with stablecoinsissued or jointly issued outside the EU. While MiCA generally requires thatstablecoinsoffered to the public or admitted to trading in the EU have an appropriately authorized EU issuer, EU authorities have identified gaps in the treatment of certain third-country and multi-issuance arrangements, in which parts of the issuance and reserves may remain outside the EU regulatory perimeter. The current status quo has persuaded some leading issuers to pull out of the EU. Most notably, the world’s most widely circulated stablecoin,USDT—issued by the El Salvador HQ’d Tether—lost access to regulated EU exchange trading following the end of MiCA’s transition period on July 1, 2026. However, with theglobal stablecoin marketbooming and the current U. S. administration increasingly backing the asset class, pressure has grown among EU legislators and member states to follow suit. Stablecoin paymentsvolume reached $390 billion annually in 2025, up from less than $30 billion in 2020,based ondata from business management consultant firm McKinsey & Company. Future predictions are even more striking; last year, U. S. Treasury Secretary Scott Bessentpredictedthat stablecoin supply could reach $3 trillion by 2030, while multinational investment bank and financial services company Citi (NASDAQ: C) forecast that stablecoins could reach $4 trillion by the end of 2030 in its bull-case scenario. Despite 98% of the current stablecoin marketalready being U. S. dollar-denominated, U. S. President Donald Trump has been keen to strengthen the U. S. currency through this new technology. After coming into office for a second term last January, Trump threw his considerable weight behind stablecoins—especially those based in the U. S. and denominated in the dollar—while alsobanning central bank digital currency(CBDC), which some see as a rival to private sector stablecoins. To this end, one of his firstexecutive orders, from January 2025, called for “promoting and protecting the sovereignty of the United States dollar,” including through actions to promote the development and growth of dollar-backed stablecoins worldwide. The same executive order also demanded: “Taking measures to protect Americans from the risks of Central Bank Digital Currencies (CBDCs), which threaten the stability of the financial system, individual privacy, and the sovereignty of the United States, including by prohibiting the establishment, issuance, circulation, and use of a CBDC within the jurisdiction of the United States. ”Trump also lit a fire under stalling stablecoin legislation, in the form of theGENIUS Act, whichwas finally passedin July of last year and—barring some complaints with regards to an included ban on stablecoin issuers paying yield—was broadly welcomed by much of the crypto industry for giving stablecoins a clear regulatory framework, legitimizing them, increasing institutional adoption, and reducing uncertainty for crypto businesses. The EU consultation on its digital asset rules, including those for stablecoins, creates an opening for the bloc to reconsider how MiCA treats non-EU stablecoins and cross-border issuance. Whether that ultimately produces a more hospitable environment for the sector, or tighter safeguards around foreign-issued stablecoins, will depend on the Commission’s review and the legislative process that follows. The MiCA consultation is open until September 30 for those in the “specialized audience” who may want to comment. Watch: CBDCs or stablecoins? What the industry leaders actually thinkframeborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen>James Field is a senior writer and researcher specializing in legal and regulatory developments in fintech. During his decade of experience covering the tech, business and legal sectors he has worked as a deputy editor (in charge of Africa coverage) for the market leading Legal 500, written for various global news, industry and B2B outlets (including Legal Business, Geographical Magazine and Dutch News), and reported from tech events, including London Blockchain Conference and UK House of Lords Finance Summits. Tagged: