Overview
- The EU’s MiCA transition closed on July 1, 2026, and ESMA told firms serving EU clients without a CASP authorisation to stop covered crypto services or execute wind-down plans.
- National regulators and ESMA have continued to approve providers after the deadline, lifting the public MiCA register to about 309 authorised entities and adding traditional banks to the list.
- Firms authorised under MiCA face ongoing duties such as custody segregation, capital buffers, governance, reporting and AML controls that create steady fixed costs for operations.
- Lawyers and industry executives say those fixed costs make mergers, sales and partnerships with banks more attractive for smaller firms because banks already have compliance systems and distribution networks.
- The shift narrows the regulated market but leaves room for specialist infrastructure providers and self-custody solutions while the U.K.’s planned CASS-style regime and a 2026–27 FCA authorisation window are likely to produce similar consolidation pressures.