Here is what the page “Circle Urges EU to Rethink Stablecoin Reserve Rules in MiCA Review” contains. Circle, a leading stablecoin issuer, is calling on European Union policymakers to revise reserve requirements under the Markets in Crypto-Assets (MiCA) regulation. The company argues that mandatory minimum bank deposits are overly rigid and could undermine stablecoin stability and innovation. Instead, Circle proposes more flexible liquidity rules that allow issuers to hold reserves in a broader range of high-quality liquid assets. The firm also emphasizes the importance of preserving cross-border stablecoin issuance, warning that fragmented national approaches could hinder the EU's digital finance ambitions.
As the EU reviews MiCA, Circle's input highlights tensions between regulatory prudence and industry flexibility. The outcome could shape how stablecoins operate across the 27-member bloc, affecting issuers, users, and the broader crypto market. Policymakers now face a delicate balance: ensuring financial stability while fostering a competitive environment for digital assets. For the complete material, the listing points back to the source inside the network.
