MiCA (EU crypto regulation)

MiCA, the Markets in Crypto-Assets Regulation, is the European Union's comprehensive law for crypto assets. It entered into force in June 2023. Its rules for stablecoins, which MiCA calls asset-referenced tokens and e-money tokens, applied from 30 June 2024, and the rest, covering crypto-asset service providers, applied from 30 December 2024, with transitional periods in some member states.

MiCA requires exchanges, brokers and custodians serving EU customers to obtain a licence, after which they can "passport" services across all EU countries. It sets rules on governance, custody of client assets, conflicts of interest, white papers for token offerings and market abuse. Stablecoin issuers must hold reserves, offer redemption at par and meet strict requirements, which led some exchanges to delist USDT for EU users.

MiCA does not cover NFTs that are genuinely unique, or fully decentralised services with no identifiable provider. It is often cited as a model for other countries.