Circle seeks EU stablecoin reserve rule changes

VERA Brief

AI-generated. Grounded in the article and its cited sources.

Circle is asking the European Union to change its stablecoin reserve rules under the MiCA regulation. The company proposes replacing fixed bank deposit minimums with more flexible liquidity requirements to better match stablecoin operations and foster innovation.

Key facts

• Circle is advocating for changes to the EU's Markets in Crypto-Assets (MiCA) regulation regarding stablecoin reserves.
• The company suggests replacing mandatory bank deposit minimums with more adaptable liquidity requirements.
• Circle believes these changes would better align with stablecoin issuance realities and facilitate cross-border services.
• The proposed revisions are part of the EU's review of the MiCA regulation to harmonize crypto-asset rules.
• Circle aims to enhance the resilience and adaptability of stablecoin reserves and support wider market access.