ESMA proposes banning EU custody and transfers of non-compliant stablecoins
- —ESMA seeks a ban on custody and transfers of stablecoins that fail MiCA
- —The January 2025 stance had allowed holding and transferring such tokens
- —The restriction would also hit holders who stopped trading, not just buyers
- —ESMA's proposal sets no conversion deadline or wind-down mechanism
Why it matters: If the Commission adopts the amendment, licensed EU venues could no longer safekeep or move non-compliant stablecoins, strengthening USDC and EURC in European distribution.
Source: CryptoSlate