EU’s MiCA Regulation Faces Patchy Implementation as ESMA Seeks to Assert Control
The Markets in Crypto-Assets (MiCA) framework, enacted in January 2025, was designed to standardize crypto regulation across the European Union. Yet divergent approaches among member states threaten its unified vision.
Germany has emerged as an early adopter, granting over 30 crypto licenses—primarily to traditional banks. Luxembourg maintains a restrictive stance, while Malta's lax enforcement has drawn criticism from the European Securities and Markets Authority (ESMA).
ESMA now pushes for centralized oversight to close regulatory gaps. The agency demands local regulators develop technical expertise as Europe moves toward stronger harmonization. Market participants await whether Brussels can reconcile national interpretations with MiCA's original intent.
