Analyst: MiCA could lead to encrypted companies withdrawing from the EU

An analyst said that the upcoming crypto asset market framework will impose strict regulatory requirements on stable coin activities in the EU, which may have a negative impact on the EU's cryptocurrency industry. Starting from next Monday, as MiCA is partially implemented across the EU, stable coin activities in the EU must comply with new requirements.
Jasper De Maere, research director at Outlier Ventures, said that most stablecoins are pegged to the US dollar, so most of them are unlikely to comply with MiCA in the short term. De Maere told The Block: "After the implementation of MiCA, European citizens may face consequences such as restricted trading channels, poor liquidity, and inability to access more foreign crypto-native investment opportunities." Due to new regulatory requirements, companies may withdraw their business in the EU, damaging innovation and consumer access to the cryptocurrency field in the EU. "With the comprehensive implementation of MiCA, it is expected that large exchanges and stablecoin issuers will issue statements in the coming weeks and months."