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EU Plans 2027 MiCA Overhaul for Non-EU Stablecoin Issuers
European Commission to propose requiring non-EU stablecoin issuers like Tether and Circle to get local licence under 2027 MiCA review, people said.
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The European Commission will propose rules requiring non-EU stablecoin issuers to hold a local licence under a review of the Markets in Crypto-Assets regulation set for 2027, people familiar with the matter said.
MiCA already requires euro-denominated stablecoins to be issued by an EU-authorised credit institution or e-money firm. Non-EU stablecoins such as Tether's USDT and Circle's USDC have reached European customers through distributors and trading platforms that handle compliance themselves. The planned revision would shift that obligation to the issuer.
The review was originally scheduled for 2027. The political calendar could shift it forward. The U.S. GENIUS Act and President Trump's public backing of dollar-backed tokens have raised concerns in Brussels that crypto business could drift toward a more permissive American regime. Some EU officials argue that waiting until 2027 would allow regulatory arbitrage to become entrenched, one of the people said.
The Commission is studying how the GENIUS Act would treat foreign stablecoin issuers and whether it would create a more attractive regime for dollar-backed tokens, people familiar said. EU officials want to avoid a scenario where European users hold non-compliant tokens through offshore platforms. The review is part of MiCA's mandated three-year assessment, which covers stablecoin issuance, custody, and trading rules. The focus on non-EU issuers reflects a desire to close a gap that has allowed dollar-backed tokens to dominate European stablecoin volume.
For European exchanges that depend on USDT and USDC for liquidity and settlement pairs, the prospect of direct issuer oversight introduces uncertainty. USDT, with a market capitalisation of about $120 billion, is the largest stablecoin by far. USDC, at roughly $35 billion, is the second-largest and a core settlement asset on many European platforms. Any disruption to USDT or USDC access would ripple through trading pairs and derivatives markets that rely on these tokens as collateral. Circle has already taken steps toward EU compliance, securing an e-money licence in France. Tether has been more cautious, and its CEO has publicly questioned MiCA's reserve requirements. Tether has not applied for an EU licence, people familiar said.