Circle Seeks Overhaul of EU Stablecoin Rules Amid Global Competition

Circle, the company behind popular stablecoins USDC and EURC, has called for changes to the MiCA (Markets in Crypto-Assets) regulations in Europe. The company's experience operating under these rules has given it hands-on knowledge of how they function, but Circle believes targeted changes are necessary to improve Europe's position in the global stablecoin market.

MiCA has established a solid regulatory framework for digital currencies, with around 30 e-money tokens authorized under the framework. However, Circle points out that only three of the top 25 stablecoins by market capitalization, USDC, USDG, and EURC, are regulated under MiCA.

Circle suggests revising the rules to enable multi-issuance, which would allow a single stablecoin to be issued by different regulated issuers in various jurisdictions. This model would facilitate global stablecoins' use within Europe's regulatory environment.