EU Market Integration Package prompts feedback from Circle
The response highlights DLT Pilot reforms, wider use of e-money tokens, and supervision to boost EU capital markets, market integration, and digital finance.
Circle has submitted feedback to the European Commission on its proposed Market Integration Package, aiming to strengthen capital markets integration and supervision across the EU.
The response praises digital finance reforms while recommending refinements to support institutional adoption and liquidity growth. Key recommendations include reforming the DLT Pilot Regime with adaptive thresholds, a clear path to permanent legislation, and accelerated updates.
Circle also calls for broader use of MiCA-compliant e-money tokens (EMTs) in securities settlement, ensuring alignment with the CSD Regulation and considering non-EU-issued stablecoins for cross-border interoperability.
The company urges careful calibration of centralised supervision under the European Securities and Markets Authority, focusing on systemic crypto firms and reducing administrative complexity for smaller providers.
Legal certainty regarding the use of EMTs as collateral is also highlighted, enabling the EU markets to remain competitive globally.
Circle emphasises the potential of clear and proportionate regulation to bridge traditional finance with on-chain infrastructure. The company positions regulated stablecoins like USDC and EURC as key tools for modernising Europe’s capital markets and unlocking new efficiency and liquidity.
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