EU Parliament signals expansion of crypto oversight beyond MiCA

The report, titled Digital assets – challenges for the competitiveness and integrity of the European Union’s financial system, sets the legislative agenda for the European Commission. While the document does not impose immediate legal mandates, it pressures regulators to evaluate whether DeFi, crypto lending, and tokenized assets require specific oversight. Lawmakers highlighted that fragmented enforcement across member states threatens the integrity of the EU’s single market, urging a more unified approach to digital asset supervision.

This push follows the July 1 expiration of the MiCA transition period, which forced crypto-asset service providers to secure national or EU-wide authorization. Recent market data from Decta underscores the shift toward regulated assets, noting that the market capitalization of MiCA-compliant euro stablecoins surged 128% over the past year to reach $673.9 million. As companies adapt to these standards, firms like BNB Chain are already issuing guidance for users to navigate the transition toward self-custody and regulated platforms. The European Commission is now tasked with weighing whether to codify these activities, a process that will necessitate separate legislative proposals before any new rules take effect.