Circle has asked the European Commission to ease some rules in its proposed Market Integration Package to make it easier for institutions to use digital euro and dollar tokens across the EU.
The company says current rules could slow the adoption of euro-backed stablecoins like EURC. Specifically, the threshold that limits settlement to “significant” e-money tokens could block smaller tokens from wider institutional use, creating a “chicken-and-egg” problem for growth. Circle suggests using more flexible thresholds based on market uptake and liquidity rather than a fixed capital benchmark.
Circle also wants crypto service providers included in the EU’s DLT Pilot Regime. Right now, cash accounts under the pilot are limited to banks and central securities depositories. Allowing crypto firms to participate would make digital asset settlement clearer and more accessible for European institutions.
In its March 20 feedback, Circle called the package a “meaningful step toward a digitally enabled financial system” but urged changes to improve market access, allow wider use of e-money tokens, and help blockchain-based settlement work smoothly within regulated markets.
The move shows Circle pushing for broader adoption of stablecoins in Europe while keeping compliance aligned with MiCA rules.
