ESMA Pushes for Delisting of Non-MiCA Compliant Stablecoins, Sets Q1 2025 Deadline

The European Securities and Markets Authority (ESMA) has mandated crypto-asset service providers (CASPs) to delist stablecoins that do not comply with the Markets in Crypto-Assets Regulation (MiCA). This directive aims to ensure that only MiCA-compliant stablecoins are traded within the European Union. ESMA has set a deadline of Q1 2025 for this delisting process. However, the authority has not specified which stablecoins or issuers are non-compliant, leaving it to CASPs to identify and act accordingly. This move follows the European Commission's July 2024 guidance, which clarified the application of MiCA to crypto-asset services involving non-compliant stablecoins. MiCA, which became effective on June 30, 2024, provides a regulatory framework for asset-referenced tokens (ARTs) and electronic money tokens (EMTs), commonly known as stablecoins.