EU Stablecoin Rules Under Fire from 50,000 Signatures and Central Banks

Over 50,000 people have urged the European Commission to relax its rules on stablecoin rewards under MiCA. The petition, organized by Stand With Crypto EU, calls for regulated stablecoin providers to be allowed to offer incentives such as cashback and fee reductions.

The current MiCA framework prohibits issuers from paying interest on stablecoins, which Stand With Crypto EU argues puts them at a disadvantage compared to traditional financial products.

European central banks have also been pushing for changes to the MiCA rules, with the ESCB calling for a broader prohibition on 'yield-like' behavior tied to stablecoins.