On 5 July 2024, the European Banking Authority issued a statement on the application of the Regulation on markets in crypto-assets (MiCAR) to asset-referenced tokens (ARTs) and e-money tokens (EMTs).

Key points in the statement include:

  • The EBA expects any person who intends to commence ART/EMT activities to fully comply with MiCAR as from 30 June 2024.
  • Issuers who have issued ARTs in accordance with applicable law prior to 30 June 2024 may continue to do so in accordance with the transitional arrangements set out in Article 143(4) and (5) MiCAR. No similar transitional arrangement applies for EMTs.
  • All stakeholders providing services related to crypto-assets (exchange, transfer, etc.) should set up as soon as possible procedures in order to assess compliance with MiCAR of ARTs/EMTs for which they offer related services and should refrain, as from 30 June 2024, from carrying out services that constitute offering to the public, seeking admission to trading or placing non-compliant ARTs/EMTs.
  • The EBA expects Member State competent authorities who become aware that a person has commenced or plans to commence ART/EMT activities to bring, on a best-efforts basis, to that person’s attention: MiCAR’s requirements; the EBA’s guidelines and technical standards; and other applicable regulatory measures, including in the areas of anti-money laundering and counter-terrorist financing and operational resilience.

The EBA has also published a document setting out common supervisory priorities to which supervisory efforts should be directed. The EBA envisages that these supervisory priorities shall be reviewed annually, based on a regular risk assessment integrating market developments, supervisory experience and regulatory changes. The priority areas are:

  • Internal governance and risk management.
  • Financial resilience (including, where applicable, own funds requirements and reserve of assets).
  • Technology risk management.
  • Financial crime risk management.