Circle’s Patrick Hansen calls for MiCA equivalence rule on stablecoins

The proposal would allow foreign stablecoin issuers to rely on home-country regulation instead of setting up an EU entity under MiCA.

Summary

Circle’s Patrick Hansen has called for an equivalence rule under MiCA, the EU’s crypto framework, that would let foreign stablecoin issuers operate based on oversight in their home jurisdictions rather than requiring them to establish an EU entity. The proposal points to a cross-border regulatory model in which the European Union could recognize another country’s rules as comparable, potentially lowering market-entry barriers for overseas issuers while keeping them within a supervised regime.

Terms & Concepts
  • MiCA: EU crypto regulatory framework
  • stablecoin issuers: Companies that issue value-pegged digital tokens
  • equivalence rule: Recognition of comparable foreign regulation