EBA Classifies USDC as First Significant E-Money Token in EU
Key Takeaways
- •The European Banking Authority has classified USDC as the first significant e-money token among the 45 EMTs notified under the EU's MiCA framework.
- •Starting November 12, 2026, supervisory duties over USDC's own funds, reserve assets, liquidity requirements, and recovery and redemption plans will move from the ACPR to the EBA under MiCA's dual supervision regime.
- •The ACPR will retain oversight of areas including governance, qualifying holdings, fit and proper assessments, outsourcing, and conflicts of interest during and after the transition.
- •The EBA has signed a Memorandum of Understanding with the New York State Department of Financial Services to enable cooperation and information sharing on cross-border stablecoin supervision.
- •The EBA conducts annual significance assessments under MiCA, so USDC's designation will be reviewed regularly and other notified e-money tokens could be added to the significant category in the future.
The European Banking Authority (EBA) has classified USDC, issued by Circle Internet Financial Europe SAS, as a significant e-money token (EMT) under the Markets in Crypto-Assets Regulation (MiCA), following an assessment of the criteria established by the regulation.
The European Union currently has 45 EMTs notified under MiCA, the bloc's comprehensive framework for crypto-asset markets, whose stablecoin provisions have applied since June 30, 2024. USDC is the first of those tokens to be classified as significant. Under the regulation, e-money tokens are crypto-assets that purport to maintain a stable value by referencing a single official currency, and the significance designation places an issuer under closer EU-level oversight.
Beginning November 12, 2026, USDC will be subject to the dual supervision framework established by MiCA for significant EMTs. Direct supervisory responsibilities covering own funds, reserve assets, liquidity requirements, and recovery and redemption plans will transfer from the Autorité de Contrôle Prudentiel et de Résolution (ACPR) to the EBA.
The ACPR will continue supervising areas including governance, qualifying holdings, fit and proper assessments, outsourcing, and conflicts of interest. The EBA and the ACPR will work together to support the transition and maintain effective supervisory cooperation.
USDC is issued in the European Union by Circle Internet Financial Europe SAS and in the United States by Circle Internet Financial, LLC. To support supervision of cross-border stablecoin activities, the EBA has signed a Memorandum of Understanding with the New York State Department of Financial Services. The agreement is intended to facilitate cooperation and information exchanges between the two authorities.
Under MiCA Articles 43 and 56, the EBA is responsible for classifying asset-referenced tokens (ARTs) and e-money tokens as significant. It conducts an annual assessment to determine whether tokens should be considered significant or continue to meet the applicable criteria, meaning USDC's status will be revisited on a recurring basis and other notified EMTs could join the significant category in future assessments.
Commission Delegated Regulation (EU) 2024/1506 sets out the indicators used for the significance assessment. The EBA also references Decision EBA/DC/558 in connection with the process.
Issuers of significant asset-referenced tokens are placed under EBA supervision. Issuers of significant EMTs are subject to dual supervision by the EBA and the relevant national competent authority under MiCA Article 117.
The EBA exercises its powers in close cooperation with other competent authorities under MiCA Articles 117(5) and 128, as well as with the supervisory colleges established under MiCA Article 119.
Source: BitcoinKE
