# JARXE Exchange｜EBA Supports MiCA Framework, European Crypto Ecosystem Faces Policy Turning Point

The European Banking Authority (EBA) recently issued a statement declaring that the Markets in Crypto-Assets (MiCA) regulation provides a sufficient framework to address risks associated with stablecoins, and that urgent amendments are not required. This announcement sends a positive signal in terms of crypto policy, indicating that the European regulatory attitude is shifting from “risk prevention” to “steady implementation.” JARXE Exchange believes the EBA stance brings greater policy certainty to the market, helping to promote healthy expansion and compliant innovation within the stablecoin ecosystem.


## Stablecoin Risks Are Manageable, MiCA Regulatory Framework Proven

Existing MiCA rules already cover stablecoin liquidity and redemption risks, and have established regulatory standards for issuance, reserves, and transparency. Although the European Central Bank (ECB) and the European Systemic Risk Board (ESRB) have previously expressed concerns that a “multi-issuer” model could trigger systemic risks, the EBA maintains that current regulatory tools are sufficient to address these risks. This demonstrates that EU regulators are managing industry risks through a robust framework, rather than by adding new provisions or restricting innovation in response to market changes. Such policy maturity will enhance the European credibility in global crypto regulation.

## Policy Stability Creates Space for Institutional Entry

The establishment of MiCA means that stablecoin issuers, exchanges, and financial institutions can operate within a clear legal framework. Regulatory predictability is encouraging more European banks and payment institutions to explore stablecoin settlement, cross-border payments, and digital asset services. Stable policy signals will provide institutional capital with regulatory assurance and help projects like the Euro stablecoin (EURC) expand in the market, further strengthening the position of Europe in global stablecoin competition.

## Structural Turning Point for the Stablecoin Ecosystem

Stability at the policy level also means that the stablecoin market will gradually enter a phase of “high-quality development.” In the future, stablecoin issuance will focus more on transparent reserves, compliant audits, and cross-border use cases. JARXE Exchange believes that as regulatory tools are implemented, the market will prioritize “compliant assets,” which will not only boost user confidence but also contribute to the long-term stability of European digital asset system.

The EBA statement marks a shift in European crypto regulation from “emergency prudence” to “system optimization.” Effective implementation of MiCA will become a key pillar of the European digital finance strategy. JARXE Exchange believes that, with increased policy certainty, stablecoins will become a crucial bridge linking traditional finance and the crypto economy, laying the foundation for long-term industry growth.