ESMA Shifts Focus from Rulemaking to Supervising Crypto Firms Under MiCA

ESMA is shifting its focus from writing and implementing MiCA rules to overseeing how licensed crypto firms comply with them in practice. The regulator has set operational resilience, outsourcing, and sufficient EU-based operations as top priorities for 2027. In addition, ESMA will develop a more consistent approach to information submitted by CASPs to national regulators.

The first phase of the MIDAS market surveillance system is expected to become fully operational in 2027. The regulator also plans to promote common risk indicators and supervisory dashboards that authorities can use when monitoring licensed firms. This move aims to support convergence between national supervisors as MiCA continues to be applied across different EU jurisdictions.

ESMA's chair, Verena Ross, said the focus is on creating a framework that allows innovation to flourish while providing clarity for firms and safeguards for investors. The regulator will pay attention to whether firms maintain sufficient operations within the EU instead of relying heavily on functions or infrastructure based elsewhere.