ESMA sets out supervisory expectations on services related to unauthorised stablecoins

The European Securities and Markets Authority (ESMA), the EU regulator and supervisor, has published an opinion clarifying supervisory expectations of crypto-asset services involving asset-referenced tokens (ARTs) and e-money tokens (EMTs) - also known as stablecoins- that do not comply with the requirements of the Markets in Crypto-Assets Regulation (MiCA). Crypto-asset service providers (CASPs) authorised under MiCA should cease providing services related to non-MiCA-compliant stablecoins to clients in the European Union. This applies to the full range of crypto-asset services covered by MiCA, including the operation of trading platforms, exchange services, execution of orders, placing of crypto-assets, reception and transmission of orders, investment advice, transfers, custody and administration, and portfolio management, whether these services are provided individually or in combination. The opinion calls on National Competent Authorities (NCAs) to supervise that market participants neither maintain, introduce, nor facilitate access for clients to non-MiCA-compliant stablecoins through their services. NCAs should also ensure that CASPs implement appropriate technical, contra...