ESMA Gives EU Crypto Firms 3 Months to Exit Non-Compliant Stablecoins

The European Securities and Markets Authority urged EU crypto firms to halt services involving stablecoins that lack compliance with the Markets in Crypto-Assets Regulation framework, setting a hard deadline of Jan. 8, 2027. National regulators must require crypto-asset service providers to address remaining exposures to unauthorized stablecoins as soon as possible within the 3-month window. The sweeping guidance covers trading platforms, exchange services, order execution, custody, transfers, investment advice, and portfolio management across member states. Firms must implement rigorous technical, contractual, and organisational controls to prevent EU clients from acquiring or increasing exposure to non-compliant assets. Regulators may permit limited temporary activities to help clients exit existing positions through liquidation, conversion, withdrawal, and safekeeping under strict supervision.