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Article: Europe’s MiCA Law Is in Motion — But Can the Crypto Industry Keep Up?
• MiCA enters a critical implementation phase across the European Union.
• Stablecoin rules spark industry shake-up, with Tether refusing to comply.
• BitGo steps in with MiCA-compliant licensing in Germany.
The European Union’s Markets in Crypto-Assets regulation — better known as MiCA — is now in its critical implementation phase. Designed to harmonize crypto regulation across all 27 EU member states, MiCA aims to bring clarity, consumer protection, and long-term market stability. But as implementation begins, challenges are already surfacing.
This week’s Byte-Sized Insight episode explores MiCA’s newly active provisions, focusing particularly on stablecoins, and why some of the industry’s largest players are pushing back.
As of January 2025, crypto asset service providers (CASPs) have begun acquiring licenses to legally operate within the EU. A transitional or “grandfathering” period grants existing firms up to 18 months (depending on the member state) to comply. However, with regulatory deadlines looming, firms must act swiftly.
Stablecoins Under Fire
One of MiCA’s earliest — and most controversial — provisions focuses on stablecoins.
Under the regulation, no stablecoin may be offered to EU users unless the issuer is authorized within the EU and publishes a white paper approved by regulators.
Additional requirements include:
• Strict reserve asset mandates
• Robust governance structures
• Conflict of interest policies
• Tight marketing rules
• A ban on offering interest-bearing tokens
This puts the world’s most-used stablecoin — Tether’s USD₮ — at odds with MiCA.
Tether has publicly announced that it will not seek MiCA compliance, which could force exchanges to delist it across the EU.
💬 Tether CEO Paolo Ardoino told Cointelegraph’s Gareth Jenkinson at Token2049:
“The reason is not, uh, fear of regulations, fear of compliance… The problem that I had with, um, with MiCA is that [the] license is very dangerous when it comes to stablecoins and I believe that it’s even more dangerous for the small medium banking system in Europe.”
Compliance Players Step In
While some resist, others are embracing the new landscape.
BitGo, a major crypto custody firm, has obtained a MiCA-compliant license in Germany.
This positions BitGo to serve institutional players throughout the EU.
💬 Brett Reeves, Head of Go Network and European Sales at BitGo, shared:
“We found that both BaFin and the European regulators have been relatively straightforward to deal with. Sometimes they have difficult questions, but they’re there to make sure that our processes are in place and up to scratch.”
Industry voices are also calling for clarity at the national level.
Erwin Voloder, Head of Policy at the European Blockchain Association, emphasized the importance of consistent interpretation and guidance from EU regulators.
Without it, there’s a risk of fragmented enforcement and uncertainty for market participants.
MiCA marks a turning point for crypto regulation in Europe — but its success hinges on how well the industry adapts and how effectively regulators coordinate implementation.
@ Newshounds News™
Source: Cointelegraph
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Article: XRP News Today – Bank of France Officially Testing Ripple’s Ledger for Digital Euro
• Bank of France is officially testing Ripple’s private ledger for a Euro-based CBDC.
• Marks the first confirmed trial of Ripple’s blockchain for a national digital currency in France.
• Could give Ripple a first-mover advantage in the EU’s digital finance future.
A new academic study from Ulster University reveals that the Bank of France is actively testing Ripple’s private ledger as the underlying blockchain for a potential Central Bank Digital Currency (CBDC) based on the euro.
💬 The update was shared by crypto analyst @WrathofKahneman on X (formerly Twitter), highlighting what may be the first confirmed government trial of Ripple’s ledger for a European national digital currency.
Ripple’s Private Blockchain Gets a Seat at the Table
According to the academic findings, the Bank of France is currently conducting live tests on Ripple’s enterprise-grade private ledger.
This development significantly strengthens Ripple’s reputation as a top-tier blockchain infrastructure provider for national-level digital currencies.
France’s involvement is particularly notable due to its leadership role within the European Union, adding weight to any potential adoption discussions surrounding the digital euro.
Why This Trial Is a Major Milestone
🔹 Institutional Validation:
The Bank of France trial signals that Ripple’s blockchain is gaining serious institutional trust, despite past regulatory scrutiny in the United States.
🔹 EU-Wide Implications:
If successful, this test could pave the way for Ripple’s technology to be considered for EU-wide digital euro initiatives.
🔹 Tech Over Token:
The trial emphasizes Ripple’s value as a blockchain infrastructure provider, not just a cryptocurrency issuer.
🔹 First-Mover Advantage:
Ripple’s ready-to-deploy ledger gives it a potential edge over competitors still developing their CBDC platforms.
The Bigger Picture: Ripple in the Global CBDC Race
Countries like China are already moving aggressively on CBDC development. Europe, by contrast, risks falling behind — unless it can adopt a scalable, secure solution quickly.
Ripple’s blockchain is uniquely positioned to fill this gap, offering speed, compliance, and reliability.
Why This Matters
Ripple’s entry into CBDC trials in France may mark the start of a much broader shift. As central banks globally search for trusted partners to usher in the next generation of money, Ripple is clearly positioning itself as a frontrunner in the digital financial revolution.
@ Newshounds News™
Source: Coinpedia
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