EU central banks attack MiCA rules and stablecoin runs are blamed
Summary
The European System of Central Banks reportedly wants the EU to remove MiCA’s minimum bank-deposit shares for stablecoin reserves and instead test how quickly reserves can be converted to cash. The proposed liquidity thresholds would require set amounts available within one and five working days, while retaining safeguards on eligible assets, concentration and overcollateralization. The change could reduce direct links between stablecoin runs and bank funding, but shift more reserves toward sovereign debt and repo markets, where forced sales or concentrated holdings could create other risks. The European Commission is reviewing MiCA; consultation responses may inform a later legislative proposal. The reported position is not a final rule.
