Circle Seeks MiCA Overhaul for Cross-Border Stablecoin Issuance

Circle is pushing for changes to the Markets in Crypto-Assets Regulation (MiCA) to make it easier for stablecoin issuers to operate in Europe. In an Oct. 1 comment letter, Circle noted that only three of the top 30 stablecoins by market value currently meet MiCA requirements: USDC, USDG, and EURC.

The company is urging European officials to amend several aspects of MiCA to allow for cross-border stablecoin issuance and more flexible reserve requirements. Circle wants issuers operating in multiple jurisdictions to be able to issue a stablecoin in partnership with other issuers around the world without being restricted by regulations.

Circle also suggested ways to recognize stablecoins issued and regulated by other countries, allowing them to distribute stablecoins in Europe through European-regulated entities. The company mentioned the US GENIUS Act as a possible source for these approaches.