Key Highlights
- The European Commission has launched a review of its MiCA crypto regulations.
- Regulators are seeking public and industry feedback on whether current rules remain effective.
- Nearly 40 European banks are now supporting a major euro-backed stablecoin initiative.
The European Commission has officially started a new review of its cryptocurrency regulatory framework as policymakers seek to ensure Europe remains competitive in the rapidly evolving digital asset industry.
On Wednesday, the Commission opened a consultation process focused on evaluating the effectiveness of the European Union’s Markets in Crypto-Assets Regulation (MiCA), the landmark crypto framework that came into force in 2024.
According to the Commission, the crypto sector and the broader financial environment have changed significantly since MiCA was introduced, prompting regulators to reassess whether updates or adjustments are necessary to keep pace with industry developments.
The consultation invites feedback from both the public and key industry participants regarding the core components of MiCA. Alongside the public review, the Commission also launched a more specialized consultation addressing technical, operational, and legal questions tied to the framework.
The targeted review is aimed at a wide range of stakeholders, including crypto issuers, digital asset service providers, banks, technology companies, academic institutions, industry associations, consumer advocacy groups, and EU public authorities.
The consultation period will remain open until August 31, with the responses expected to shape future European digital asset policy.
Pressure Builds For Euro Stablecoin Reforms
The regulatory review arrives as several European industry groups push for reforms designed to strengthen the competitiveness of euro-denominated stablecoins.
Last month, Blockchain for European organization representing major blockchain and crypto firms operating within the EU — argued that while MiCA has made euro-backed stablecoins safer and more regulated, it has also made them less competitive compared to US dollar-based stablecoins.
The group proposed several reforms aimed at improving Europe’s regulated stablecoin market and encouraging broader adoption across the continent’s digital asset ecosystem.
European Banks Rally Behind Euro Stablecoin Project
At the same time, support for euro-backed stablecoins continues to grow among major financial institutions.
Nearly 40 European banks have now joined behind Qivalis, a consortium project focused on launching a large-scale euro-pegged stablecoin initiative designed to strengthen Europe’s role in digital finance.
The Qivalis consortium was originally launched in Amsterdam in 2025 with the goal of improving transaction efficiency, increasing stablecoin adoption, and boosting the competitiveness of Europe’s digital asset market.
According to reports from the Financial Times, the project recently secured support from an additional 25 financial institutions, bringing the total number of participating banks to 37.
European banking leaders are reportedly becoming increasingly concerned about the overwhelming dominance of the US dollar within the global crypto economy. Many institutions are now exploring stablecoins as tools for faster settlements, lower-cost transactions, collateral management, and cross-border payments.
Several major European banks are backing the initiative, including BNP Paribas, ING, and UniCredit, signaling growing institutional interest in building a stronger euro-based digital financial infrastructure.
