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Stablecoins Win Big Under MiCA: Zerohash Secures EU License

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Zerohash Europe has turn out to be one of many newest companies to secure authorization underneath the European Union’s landmark Markets in Crypto-Assets Regulation (MiCA) framework, successful approval from the Dutch Authority for the Financial Markets (AFM).

The license permits Zerohash to offer regulated crypto-asset and stablecoin infrastructure companies throughout your complete European Economic Area (EEA), a milestone that positions the corporate among the many first totally compliant service suppliers underneath Europe’s unified rulebook for digital property.

Is Zerohash Building the Rails for Europe’s Stablecoin Future?

The approval provides Zerohash express permission to supply embedded crypto and stablecoin companies to institutional purchasers by its B2B2C mannequin.

The Chicago-based agency was based in 2017 and already serves main companions together with Interactive Brokers, Morgan Stanley, Franklin Templeton, Securitize, Stripe, Worldpay, and Public.com.

With the license in hand, Zerohash plans to assist banks, fintechs, and cost firms combine stablecoin transactions and digital-asset companies instantly into their present platforms.

The AFM’s authorization course of is among the many most stringent within the bloc. Crypto-asset service suppliers should submit detailed enterprise plans, bear governance and fit-and-proper assessments, and adjust to anti-money-laundering guidelines underneath the Dutch Money Laundering and Anti-Terrorist Financing Act.

Source: AFM

Firms should additionally show operational resilience, preserve sturdy surveillance programs to forestall market abuse, and maintain minimal capital reserves starting from €50,000 to €150,000, relying on their companies.

Zerohash’s European license builds on its international licensing footprint within the United States, Bermuda, Canada, Australia, and Latin America.

Earlier this yr, the corporate completed a $104 million Series D-2 funding spherical backed by Interactive Brokers, Morgan Stanley, and others.

Meanwhile, Mastercard is reportedly in late-stage talks to acquire Zerohash for between $1.5 billion and $2 billion, a deal that might mark one of many cost large’s largest bets on stablecoins and on-chain settlement.

Over 50 Firms Now Licensed Under MiCA as A Stablecoin Company Joins Growing List of companies

Zerohash joins a rising record of companies licensed underneath MiCA, the EU’s first complete crypto regulation.

As of July, round 53 entities have been approved throughout the 30-country bloc, together with Coinbase, Kraken, Crypto.com, Robinhood, Societe Generale, and Circle.

The framework, which grew to become relevant to stablecoin issuers in mid-2024 and can prolong to all crypto service suppliers by the top of 2024, goals to harmonize guidelines throughout the EU, defend shoppers, and strengthen monetary stability.

Germany, the Netherlands, and Malta at present lead in licensing exercise. Coinbase received approval in Luxembourg earlier this yr, whereas BitGo and Bybit obtained licenses in Germany and Austria, respectively.

The uniform authorization permits these companies to function throughout all member states with out submitting separate functions in every jurisdiction.

MiCA’s introduction has additionally reignited debate over Europe’s broader digital funds agenda.

The European Central Bank (ECB) has backed strict limitations on multi-issuance stablecoins, tokens collectively managed inside and out of doors the bloc, warning they may pressure native reserves throughout redemption runs.

ECB President Christine Lagarde has called for tighter rules on non-EU stablecoin issuers to close regulatory gaps, citing dangers to monetary sovereignty as dollar-backed tokens dominate 99% of the $230 billion international stablecoin market.

At the identical time, Europe’s push for a digital euro is gaining momentum. ECB Executive Board member Piero Cipollone said in September that the project could launch by 2029, following current agreements amongst euro-area finance ministers on holding limits and design ideas.

Lawmakers are actually finalizing the authorized framework, with a parliamentary place anticipated by May 2026.

The submit Stablecoins Win Big Under MiCA: Zerohash Secures EU License appeared first on Cryptonews.

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