USDC Enters Dual EU Supervision as EBA Oversight Takes Effect
Summary
From November 12, the European Banking Authority directly supervises Circle’s USDC issuer on own funds, reserves, liquidity and recovery and redemption plans. France’s ACPR retains responsibility for governance, outsourcing, conflicts of interest and key-person assessments. The arrangement follows USDC’s designation as the EU’s first significant e-money token under MiCA and divides oversight rather than ending French supervision. The EBA can request information, investigate and inspect, and will coordinate with national authorities through a supervisory college. The new framework strengthens oversight but does not guarantee that every USDC-related service, processor or application is secure or that withdrawals will always be prompt.
