EBA Proposes Multi-Million Euro Fines for MiCA Breaches

The methodology, outlined in a consultation paper published June 26, employs a two-step assessment process. Regulators will first determine the severity of an infringement, then adjust the final penalty based on specific aggravating or mitigating circumstances. For issuers of significant asset-referenced tokens, the ceiling is set at 12.5% of annual turnover, while issuers of significant e-money tokens face a maximum of 10%. In certain cases, authorities may impose fines reaching double the profits generated from a violation.

This framework arrives as the July 1 MiCA licensing deadline looms, requiring firms to secure authorization from national regulators to continue operations. Binance has already moved to restrict services and halt new user onboarding in the region, prompting competitors like Coinbase and OKX to aggressively court affected users with transfer bonuses and deposit incentives. Industry participants have until September 28 to submit feedback on the EBA’s proposal before the methodology is finalized.