EBA Publishes Stablecoin Issuance Guidelines Under MiCA Regulation

• The European Banking Authority (EBA) has advised stablecoin issuers to promptly comply with upcoming EU crypto regulations.
• The EBA has published initial guidelines for public feedback on requirements for stablecoin issuance under MiCAR.
• European Securities and Markets Authority has introduced draft rules for crypto asset service providers.

The European Banking Authority (EBA) has announced in place some recent regulations in the interest of risk management and consumer protection. As part of “guiding principles,” the EBA has advised stablecoin issuers to promptly implement necessary actions in order to adhere to upcoming cryptocurrency regulations set by the European Union, which will be enforced within a year.

On Wednesday, July 12, the EBA published its initial set of guidelines for public feedback, aiming to provide clarity on the requirements of the Markets in Crypto Assets Regulation (MiCAR) regarding the issuance of stablecoins. These guidelines outline various provisions such as a perpetual right of redemption and instructions on handling complaints. Furthermore, the EBA intends for these measures to become effective on June 30, 2024.

Earlier i…

The post EBA Publishes Stablecoin Issuance Guidelines Under MiCA Regulation appeared first on Coin Edition.