European Banking Authority designates USDC as the first "significant e-money token" in the European Union.
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The European Banking Authority (EBA) announced that under the Markets in Crypto-Assets (MiCA) regulation, it has designated Circle-issued USDC as a "significant e-money token". USDC is the first among 45 e-money tokens notified in the EU to meet this designation standard. Effective November 12, the EBA will directly regulate USDC’s own funds, reserve assets, liquidity requirements, and recovery and redemption plans—areas previously overseen by France’s Prudential Supervision and Resolution Authority (ACPR). Following the handover, ACPR will retain responsibility for corporate governance, qualifying holdings, suitability assessments, and conflict of interest matters. The EBA also noted it has signed a memorandum of understanding (MOU) with the New York State Department of Financial Services (NYDFS) to facilitate cross-border supervision and information exchange. NYDFS regulates Circle’s licensed operations in New York State. Per data from The Block, USDC’s circulating supply nears $73 billion, making it the world’s second-largest stablecoin.
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