📉 ECB Challenges MiCA Stablecoin Reserve Rule
🏦 The European Central Bank (ECB) and EU national central banks have called for changes to a MiCA requirement that major stablecoin issuers keep 60% of reserves in bank deposits.
⚠️ The central banks argue the rule could create risks for the banking system, particularly if stablecoin reserves move in and out of bank deposits quickly.
🔄 They have proposed using short-maturity assets that can be converted into cash within 1–5 working days instead.
🌐 The debate highlights the challenge of balancing stablecoin liquidity, financial stability, and crypto-market innovation in the EU.
👀 Could changes to MiCA’s reserve rules reshape how stablecoins operate in Europe?
#MiCA #Stablecoins #ECB #CryptoRegulation
🏦 The European Central Bank (ECB) and EU national central banks have called for changes to a MiCA requirement that major stablecoin issuers keep 60% of reserves in bank deposits.
⚠️ The central banks argue the rule could create risks for the banking system, particularly if stablecoin reserves move in and out of bank deposits quickly.
🔄 They have proposed using short-maturity assets that can be converted into cash within 1–5 working days instead.
🌐 The debate highlights the challenge of balancing stablecoin liquidity, financial stability, and crypto-market innovation in the EU.
👀 Could changes to MiCA’s reserve rules reshape how stablecoins operate in Europe?
#MiCA #Stablecoins #ECB #CryptoRegulation
