What is MiCA, and what does it require of crypto firms in the EU?
MiCA, Regulation (EU) 2023/1114, sets EU-wide rules for issuing and offering crypto-assets and for crypto-asset service providers (CASPs).1,2 Its rules on asset-referenced and e-money tokens applied from 30 June 2024 and the rest from 30 December 2024, and transition periods for existing firms ran until 1 July 2026 at the latest.3
This lesson describes MiCA as adopted in 2023, in general terms. It is not legal advice. Each country also sets local details, and EU laws can be amended, so check the consolidated text on EUR-Lex. We checked this lesson on 22 October 2026.4,5
What MiCA is
MiCA is short for the Markets in Crypto-Assets Regulation. Its full name is Regulation (EU) 2023/1114, adopted on 31 May 2023.4 The EU's securities markets authority, ESMA, says it "institutes uniform EU market rules for crypto-assets".2
It is a regulation, which means it is "directly applicable in all Member States". Countries do not each write their own version.4
Who and what it covers
MiCA applies to people and firms that issue crypto-assets, offer them to the public, seek to have them traded, or provide crypto-asset services in the EU.1 It defines a crypto-asset as "a digital representation of a value or of a right that is able to be transferred and stored electronically using distributed ledger technology or similar technology".1
Some things are left out. MiCA does not cover crypto-assets that are unique and not fungible with others, such as digital art and collectibles.1,6 But its recitals say that NFTs issued in a large series or collection are a sign that they are in fact fungible.6 Authorities are told to look at substance over form: a token's features decide its class, not its label.6
MiCA also does not cover crypto-assets that count as financial instruments, deposits and some other products already covered by other EU laws.1
So one early question for any token in the EU is whether it is a financial instrument. If it is, MiCA does not apply to it. ESMA says MiCA covers crypto-assets not already regulated by existing financial services laws.1,2
Three kinds of crypto-asset
| Kind | What MiCA says it is | Where the rules sit |
|---|---|---|
| E-money token (EMT) | A crypto-asset that aims to keep a stable value by referencing the value of one official currency1 | Title IV3 |
| Asset-referenced token (ART) | A crypto-asset, not an EMT, that aims to keep a stable value by referencing another value or right, or a mix, including several currencies1 | Title III3 |
| Other crypto-assets | Every other crypto-asset in scope7 | Title II7 |
Stablecoin law is covered in Module 22. This lesson looks at the other crypto-assets and at service providers.1
Offering a token: the white paper
Under Article 4, a person may not offer a crypto-asset (other than an ART or EMT) to the public in the EU unless it is a legal person, such as a company, and has written, notified and published a crypto-asset white paper.7 A white paper is a disclosure document. It must cover the offeror, the project, the token, its rights, the technology and the risks.7
The white paper is not approved in advance. National authorities "shall not require prior approval" before it is published.7 But it must be notified to the authority at least 20 working days before publication.7 And its first page must say that no authority has approved it.7
Some offers don't need a white paper. Article 4(2) lifts the white paper duties for:7
- an offer to fewer than 150 people or firms in each member state, acting on their own account;7
- an offer whose total price over 12 months, across the EU, does not exceed EUR 1,000,000;7
- an offer only to qualified investors, where only they can hold the token.7
Read the words carefully. "Fewer than 150" means 149 or fewer, so 150 people in one country is too many.7 "Does not exceed EUR 1,000,000" means exactly EUR 1,000,000 still counts.7 The other rules for offerors in Article 4, such as being a legal person, still apply.7
Crypto-asset service providers (CASPs)
A CASP is a firm whose business is providing crypto-asset services to clients professionally, and that is allowed to do so under Article 59.8 MiCA lists ten crypto-asset services:8
| Service | What it means, in short |
|---|---|
| Custody and administration | Keeping or controlling clients' crypto-assets, or the means of access to them, such as private keys8 |
| Operating a trading platform | Running a system that brings together many third parties' buying and selling interests, so that they result in contracts8 |
| Exchange for funds | Buying or selling crypto-assets with clients for money, using the firm's own capital8 |
| Exchange for other crypto-assets | Buying or selling crypto-assets with clients for other crypto-assets, using the firm's own capital8 |
| Execution of orders | Agreeing, on behalf of clients, to buy or sell crypto-assets8 |
| Placing | Marketing crypto-assets to buyers on behalf of the offeror8 |
| Reception and transmission of orders | Taking a client's order and passing it to a third party to carry out8 |
| Advice | Giving personalised recommendations to a client8 |
| Portfolio management | Managing portfolios under client mandates, deciding for each client8 |
| Transfer services | Moving crypto-assets from one address or account to another, on behalf of a person8 |
Authorisation and the EU passport
No one may provide crypto-asset services in the EU unless they are an authorised CASP, or certain already-licensed financial firms such as banks.9 An authorised CASP needs a registered office in a member state, effective management in the EU, and at least one director who lives in the EU.9
Once authorised in one member state, a CASP may provide its services throughout the EU.9
A firm outside the EU may serve an EU client without authorisation only if the client came to it on their "own exclusive initiative".9 If the firm solicits clients in the EU, by any means, that exception does not apply.9
The dates
| Date | What happened |
|---|---|
| 9 June 2023 | MiCA was published in the Official Journal of the EU.4 |
| 29 June 2023 | It entered into force, on the 20th day after publication.3 |
| 30 June 2024 | Titles III and IV, on ARTs and EMTs, began to apply.3 |
| 30 December 2024 | The rest of MiCA began to apply.3 |
| 1 July 2026 | The latest date to which existing firms could keep operating under the transition rules.3 |
| 31 December 2027 | Trading platforms must make sure white papers exist for tokens admitted before 30 December 2024, where MiCA requires one.3 |
We count the days after the first date, up to and including the second. From 30 June 2024 to 30 December 2024 is 183 days. From 30 December 2024 to 1 July 2026 is 548 days.3
The transition for existing firms
Firms that already provided crypto services under national law before 30 December 2024 could carry on until 1 July 2026, or until they got or were refused MiCA authorisation, whichever came sooner.3 Member states could shorten this period or skip it.3
ESMA published the periods each country chose. They ranged from 6 months, for example in the Netherlands, to 18 months, for example in Belgium.5 Germany chose 12 months and Sweden 9 months.5 ESMA warned that some periods were countries' expectations that might not yet have been written into national law.5 Since the regulation's own outer limit was 1 July 2026, that date has now passed.3
Where to check
ESMA keeps an interim MiCA register of white papers, ART and EMT issuers, authorised CASPs and non-compliant entities, and says it publishes a new version every week.2 ESMA notes that the white papers in its register have not been reviewed or approved by any authority.2
- Regulation (EU) 2023/1114 on markets in crypto-assets (MiCA): Articles 2 and 3, scope and definitions. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
- Markets in Crypto-Assets Regulation (MiCA). European Securities and Markets Authority (ESMA), read 22 October 2026.
- Regulation (EU) 2023/1114 (MiCA): Articles 143 and 149, transitional measures and dates of application. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
- Regulation (EU) 2023/1114 (MiCA): title and final provisions. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
- List of grandfathering periods decided by Member States under Article 143 of MiCA. European Securities and Markets Authority (ESMA).
- Regulation (EU) 2023/1114 (MiCA): recitals 10 and 11, unique and non-fungible crypto-assets. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
- Regulation (EU) 2023/1114 (MiCA): Articles 4 to 9, offers to the public and white papers. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
- Regulation (EU) 2023/1114 (MiCA): Article 3(1), points 15 to 26, crypto-asset services. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
- Regulation (EU) 2023/1114 (MiCA): Articles 59 to 61, authorisation of crypto-asset service providers. European Parliament and Council of the European Union, Official Journal L 150, 9 June 2023 (read on EUR-Lex; the original text, not later amendments), 31 May 2023.
General education built from the publicly available sources listed above. Not financial, legal, tax or investment advice. Naming a company, project or regulator is not an endorsement either way. Last checked 2026-10-22. Terms and disclaimer.