EU banking regulator labels Circle's USDC a significant e-money token
The European Banking Authority has classified Circle's USDC as a significant e-money token under MiCA, bringing the $73bn stablecoin under joint EU and French supervision.
Key points
- The EBA granted USDC significant e-money token status under the MiCA framework, a label held by only 45 other projects.
- USDC, the second-largest stablecoin, has a market capitalisation of $73bn against Tether USDt's $184bn.
- The token will be jointly overseen by the EBA and France's Autorité de Contrôle Prudentiel et de Résolution.
The regulator issued the notice on Wednesday, saying the significant e-money token label has been granted to only 45 other projects. Tether's USDt remains the largest stablecoin, with a market capitalisation of $184bn.
The classification lands as EU-based issuers push for regulated US dollar-pegged stablecoins in the region. AllUnity CEO Alexander Höptner said a euro stablecoin alone is not enough for European corporates making cross-border payments globally.
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