EU Eyes MiCA Glow-Up After GENIUS Act Crashes the Stablecoin Party 🇪🇺

European Union officials are preparing to revisit the Markets in Crypto-Assets (MiCA) framework in response to the United States' recently enacted GENIUS Act, broadening the rules to cover stablecoins issued by non-EU companies, according to a Wednesday report from Euronews. The revised framework, which authorities will consider in 2027, is intended to clarify how US-based stablecoin issuers would be regulated across the bloc's 27 member states. Officials are also weighing an expansion of MiCA to cover tokenized payments and deposits.

Under MiCA, crypto firms serving EU users must be licensed as Crypto-Asset Service Providers (CASPs) by a regulator in one of the member states. That licensing requirement took effect on July 1. Earlier this year, the European Commission opened a comment period for potential revisions to MiCA, including provisions related to decentralized finance and stablecoins. The proposed overhaul, which some observers have called "MiCA 2.0," will remain open for public comment until Aug. 31.

The timeline for any legislative action remains extended. Miroslav Durić, a senior associate at Taylor Wessing, told Cointelegraph in June that "any concrete legislative proposals" were unlikely to be adopted "before 2028." The pending revisions come as US lawmakers continue advancing their own market structure legislation, the Digital Asset Market Clarity (CLARITY) Act, which is expected to head to a Senate vote in July before the chamber recesses for state work periods.

Separately, the European Securities and Markets Authority announced Wednesday that it will conduct a review of the operational resilience of CASPs licensed under MiCA. From July through the first half of 2027, EU regulators will examine how crypto companies manage custody-related operational risks, including the safeguarding of customer assets under the new framework.