Portugal’s Crypto Sector in Limbo: Government Delays MiCA Regulation Implementation (2025 Update)

• Why Is Portugal Falling Behind in Crypto Regulation?
• How Does This Impact Portugal’s Crypto Ecosystem?
• What Are Other EU Countries Doing Differently?
• What’s Next for Portugal’s Crypto Regulation?
• FAQs: Portugal’s MiCA Implementation Delay

Portugal’s crypto industry faces uncertainty as the government postpones the execution of the EU’s Markets in Crypto-Assets Regulation (MiCA). Over seven months since the previous administration ended, the country still lacks a designated regulatory body for crypto asset authorization and supervision. While the Ministry of Finance claims the implementation decree is ready, mandatory discussions in the Council of State Secretaries remain pending—a critical step before parliamentary approval. This delay leaves Portugal trailing behind EU peers like Spain, where banks such as BBVA and Santander already offer digital asset services. Meanwhile, Portuguese fintechs dominate the local crypto landscape, awaiting clarity on whether the Bank of Portugal or the CMVM will oversee the sector. With the transitional period for MiCA compliance ending on July 1, 2026, industry players warn that regulatory inertia could stifle innovation and deter international operators.

Why Is Portugal Falling Behind in Crypto Regulation?

The government attributes the MiCA implementation delay to the collapse of the previous administration. However, critics argue this bureaucratic paralysis harms Portugal’s competitiveness. Unlike neighboring Spain—where traditional banks actively participate in crypto services—Portugal’s financial institutions remain sidelined due to regulatory ambiguity. The Bank of Portugal and CMVM (Securities Market Commission) await governmental direction on which entity will license and supervise crypto businesses, despite overlapping jurisdictional areas. This indecision effectively freezes the MiCA-mandated transitional period, preventing existing operators from securing legal status. "We’re watching other EU markets advance while Portugal’s framework remains stuck in committee," notes a Lisbon-based fintech CEO who requested anonymity.

How Does This Impact Portugal’s Crypto Ecosystem?

Currently, ten entities hold national licenses for digital asset operations—only one (Bison Digital Assets) has traditional banking ties. The rest are fintechs navigating an unlevel playing field. Industry leaders express frustration: "Every month without MiCA implementation means lost opportunities," says Miguel Almeida of Lisbon Crypto Hub. Data from CoinMarketCap shows Portuguese crypto trading volumes lagging 37% behind Spain’s in Q2 2025. The government promises a "solid and competitive framework," but with parliamentary recess lasting until September 15, the earliest the Assembly of the Republic could vote on the decree is late 2025—leaving minimal time for businesses to adapt before the 2026 deadline.

What Are Other EU Countries Doing Differently?

Spain’s proactive approach offers a stark contrast. Beyond banking giants, projects like Best Wallet—a multi-chain wallet with DeFi and NFT functionality—are aligning with MiCA principles despite not yet being licensed. Its modular architecture allows seamless integration of staking and custody services, positioning it as a compliance-ready solution. "The regulatory clarity elsewhere attracts talent and capital that Portugal could capture," observes BTCC analyst Carlos Mendez. TradingView charts indicate Spanish crypto-related stocks outperformed Portuguese counterparts by 22% year-to-date.

What’s Next for Portugal’s Crypto Regulation?

Key milestones include:

• September 15, 2025: Parliament resumes session
• Q4 2025: Expected Assembly vote on MiCA decree
• 2026: Transitional period for existing operators

Once approved, the law will enable licensing for digital wallets, asset custody, and DeFi services. However, with the CMVM and Bank of Portugal still jockeying for oversight roles, some fear further delays. "This isn’t just about bureaucracy—it’s about whether Portugal wants to be a crypto hub or spectator," warns industry veteran Ana Ribeiro.

FAQs: Portugal’s MiCA Implementation Delay

Why hasn’t Portugal implemented MiCA yet?

The government cites administrative transitions after the previous administration’s collapse, but industry experts believe bureaucratic inefficiencies and inter-agency disputes (Bank of Portugal vs. CMVM) are primary causes.

How does this affect crypto businesses in Portugal?

Existing operators cannot secure formal licenses during the transitional period, freezing expansion plans. International firms may prioritize other EU markets with clearer regulations.

What services will MiCA legalize in Portugal?

The regulation covers crypto exchanges, wallet providers, asset custodians, and DeFi platforms—provided the implementation decree passes parliamentary vote.

When will Portugal likely finalize MiCA rules?

Best-case scenario: late 2025. However, with the CMVM/Bank of Portugal jurisdictional debate unresolved, additional delays are possible.