EBA Designates Circle USDC As Europe's First Significant EMT

The European Banking Authority (EBA) has classified Circle's USDC as a significant e-money token (EMT) under the Markets in Crypto-Assets (MiCA) regulation, according to YahooStocks5. Issued by Circle Internet Financial Europe SAS in the EU and Circle Internet Financial, LLC in the United States, USDC is the first of 45 EMTs notified under MiCA to receive the significant label.

Dual Supervision Structure

From November 12, 2026, the supervisory burden for USDC splits between the EBA and the Autorité de Contrôle Prudentiel et de Résolution (ACPR) in France. The EBA will assume direct responsibility for the issuer's own funds, reserve of assets, liquidity requirements, and recovery and redemption plans. Previously, these areas were overseen by the ACPR, which licensed Circle France as an e-money institution. The ACPR retains authority over governance, qualifying holdings, fit-and-proper assessments of senior managers, outsourcing, and conflicts of interest. The significant status is subject to annual reassessment and can be revoked if the token no longer meets established criteria.

Transatlantic Regulatory Cooperation

The EBA's cross-border oversight relies on a Memorandum of Understanding (MoU) with the New York Department of Financial Services (NYDFS), signed in April and May 2026. The agreement establishes a corridor for information exchange, including quarterly data on reserve assets, qualifying holders, group structure, and trading volumes. The MoU provides for coordinated on-site inspections, written notification of material infringements, and coordinated crisis responses, though the document itself is not legally binding.

Key facts

• On October 14, 2026, the EBA classified USDC as a significant e-money token under MiCA.
• Dual supervision between the EBA and France's ACPR begins on November 12, 2026.
• The EBA oversees reserves, liquidity, and own funds, while the ACPR retains governance and management assessments.
• An MoU between the EBA and NYDFS enables cross-border information exchange and coordinated inspections.