Circle Seeks Changes to EU Stablecoin Reserve Rules
Circle said only 3 of the top 30 stablecoins meet MiCA and urged a liquidity-based reserve model to ease cross-border issuance.
- The Hyperliquid Policy Center requested that regulators classify perpetual futures under MiFID in an Oct. 1 submission, arguing they should categorize derivatives by economic features rather than blockchain technology.
- Separately, Circle urged EU policymakers to revise MiCA stablecoin issuance and reserve rules in its Oct. 1 policy submission. Patrick Hansen, Circle's director of EU strategy and policy, said "only 3 of the top 30 are MiCA-compliant today."
- Circle questioned European Banking Authority technical standards, specifically opposing a 35% ceiling on sovereign issuer exposure and a 1.5% limit on deposits at individual banking counterparties. The company argued mandatory deposits increase banking credit and counterparty risks.
- For foreign-regulated stablecoins, Circle proposed a recognition model inspired by the U.S. GENIUS Act, combining a European Commission assessment with an EBA decision to recognize individual issuers.
- The European Commission previously warned that excluding foreign stablecoins could drive users toward offshore parties without MiCA protections, as regulators continue reviewing liquidity requirements covering one to five days.
14 Articles
14 Articles
Circle urges MiCA changes as only 3 of top 30 stablecoins comply
Circle has urged EU policymakers to revise MiCA’s stablecoin issuance and reserve rules after its EU policy director said only three of the world’s 30 largest stablecoins comply with the framework. Circle, in its Oct. 1 policy submission, called for…
Circle asks the European Commission to review the requirements for stablecoins reserves in MiCA and criticizes risks of bank deposits
Circle argued that the bank deposit requirement imposed on large stablecoin issuers increases risks. The European Union is reassessing the MiCA rules. USDC issuer Circle requested changes to the bank deposit requirements applied to stablecoin reserves under the European Union's MiCA regulation. In its opinion submitted to the European Commission's MiCA review, the company proposed a more flexible system based on asset liquidity instead of a fixe…
Hyperliquid Policy Committee Submits Feedback to European Commission on MiCA Evolution
The Hyperliquid Policy Committee has submitted feedback to the European Commission on the future development of the Markets in Crypto-Assets Regulation, bringing the decentralized perpetual-futures ecosystem into Europe's debate over how MiCA should evolve as onchain markets become more sophisticated. The submission addresses regulatory questions emerging as the European Union reviews its digital-finance framework and considers whether existing …
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