Clear Junction, a global leader in cross-border payments for regulated financial institutions, has uncovered a major gap in the preparedness of payment industry leaders to comply with the Markets in Crypto-Assets Regulation (MiCA). A recent survey of 150 senior executives revealed that 37% of payment leaders struggle to understand which MiCA regulatory requirements apply to them – highlighting the urgency for greater regulatory clarity.
MiCA, which entered into force in June 2023, introduces a comprehensive regulatory framework for European crypto-assets. As the EU’s most extensive effort to regulate the crypto market, MiCA seeks to address longstanding issues such as regulatory fragmentation, consumer protection, and market stability.
Clear Junction’s findings stem from a recent poll of 150 senior payment industry executives, conducted during its ‘MiCA Masterclass’ webinar, hosted in collaboration with financial services compliance consultancy, fscom. The webinar aimed to provide crucial guidance to firms subject to MiCA, including crypto-asset service providers (CASPs), virtual asset service providers (VASPs), and issuers of asset-referenced tokens (ARTs) and electronic money tokens (EMTs).
Key Challenges for Payment Leaders in MiCA Compliance
Attendees were asked what their biggest challenges were when looking to comply with the MiCA regulation and meet crypto compliance requirements. Key findings from the webinar poll:
| Challenge | Percentage of Respondents |
| Understanding which regulatory requirements are relevant | 37% |
| Understanding whether they need to be authorised | 20% |
| Difficulty with the authorisation process | 24% |
| Understanding compliance requirements during the Grandfathering period | 20% |
Authorisation and Grandfathering: What Payment Firms Need to Know
Dima Kats, CEO and Founder of Clear Junction, commented: “Regulatory clarity is more than just a hurdle; it’s an opportunity for businesses to establish themselves as trusted players in the evolving financial landscape. With 37% of payment leaders identifying the challenge of understanding which regulatory requirements apply to them under MiCA, it’s clear that many are still navigating the complexities of this landmark regulation.
“However, as MiCA aims to address fragmentation and enhance consumer protection, it also offers businesses the chance to align with a future where crypto-assets are integrated seamlessly into the global financial system. Embracing these regulatory changes will not only help businesses comply, but will also position them at the forefront of a new era in finance – one where trust, stability, and security are key drivers of success.”
MiCA’s Impact on Stablecoins and Non-EU Providers
Webinar attendees were also given a comprehensive overview of MiCA and its implications for organisations engaging with the crypto-asset space. Key takeaways from the masterclass session include:
- A unified regulatory framework is a double-edged sword: MiCA’s inflexible nature means that member states cannot alter or choose their own regulatory measures. While this approach eliminates the inconsistencies of national regulations, it removes the flexibility that companies once had to adapt to local nuances. This creates both clarity and limitations for businesses operating across the EU.
- Stringent requirements on stablecoins: MiCA places significant emphasis on Asset-References Tokens (ARTs) and Electronic Money Tokens (EMTs), commonly known as stablecoins. The regulation introduces strict requirements for stablecoin issuers, including robust reserve backing, transparency, and governance. Payments companies relying on stablecoins must ensure these assets meet the new standards, impacting everything from operational processes to customer offerings.
- Challenges for non-EU companies: MiCA presents a significant challenge for non-EU companies. Starting 30 December 2024, crypto-asset service providers outside the EU must secure MiCA authorisation to continue operating in the EU market. This transition period, known as the Grandfathering period, runs until 1 July 2026. Non-EU businesses will need an EU presence to continue and expand their operations in the region. While options like reverse solicitation or national exemptions exist, they offer limited solutions.
As Dima stated: “Crypto is no longer a speculative frontier; it is now a legitimate and integral part of the financial landscape, and MiCA lays down the rules for that legitimacy. With more deadlines fast approaching, businesses must ensure to understand the regulations and their obligations.”
How Clear Junction Helps with MiCA Compliance
Clear Junction, with its expertise in cross-border payments, crypto integrations, and regulatory compliance, is uniquely positioned to assist businesses in navigating MiCA’s complexities.
Want to simplify MiCA compliance? Watch our MiCA Masterclass now and discover how Clear Junction can help your business navigate the complexities of crypto regulation.
This session is the second installment in Clear Junction’s webinar series addressing compliance challenges within the financial services sector. It highlights how increasing regulatory scrutiny is reshaping the operational, budgetary, and strategic considerations for payment providers across Europe. Clear Junction will share registration links for future sessions on its LinkedIn channel for interested parties.