EU's MiCA Framework Takes Full Effect; Only 210 of 1,200 Crypto Firms Gain Authorization Before July 1 Deadline

According to data from the European Securities and Markets Authority (ESMA) reported by Euronews, Europe's crypto industry faces a major regulatory overhaul as the European Union's Markets in Crypto-Assets Regulation (MiCA) takes full effect on July 1, 2026. Companies without MiCA authorization must stop serving customers in the EU or wind down operations. By May, only around 210 out of more than 1,200 crypto firms operating under national registrations had obtained full authorization, highlighting a low conversion rate.

MiCA establishes a unified framework governing exchanges, brokers, and digital wallet providers across all 27 member states, replacing previous patchwork national regulations. Several major players including Coinbase, Kraken, and Revolut have already secured approval, while Binance withdrew its Greek application after facing rejection, Reuters reported. National regulators have warned of enforcement measures and potential criminal prosecution for unauthorized operators.