ECB and EU Central Banks Seek Stablecoin Reserve Rule Rewrite

The European Central Bank (ECB) and national central banks of the EU have asked Brussels to rework how regulated stablecoins hold their reserves. The request is in response to the European Commission's targeted consultation on the review of MiCA, published on September 22.

MiCA sets rules for crypto-asset issuance and services across the bloc. Article 54 requires issuers to keep at least 30% of funds received in exchange for e-money tokens as deposits at credit institutions, with a minimum of 60% for significant tokens.

The central banks argue that these deposit quotas can leave banks exposed to swings in stablecoin demand and make the deposits less stable. They want the law changed so that a minimum percentage of token reserves must be held in assets maturing within one and five working days.