ESMA Targets Unapproved Stablecoins with MiCA Expansion

The European Securities and Markets Authority (ESMA) has proposed expanding the scope of its Markets in Crypto-Assets (MiCA) regulation to cover decentralized finance gateways, staking, and crypto lending services.

This proposal aims to tighten restrictions on services related to unapproved stablecoins and impose stricter limits on their use.

The expansion of MiCA would bring these DeFi services under the regulatory umbrella, requiring them to adhere to specific standards and guidelines.