The European Banking Authority (EBA) has classified USDC as a significant e-money token (EMT) under the EU’s Markets in Crypto-Assets Regulation (MiCA). The EBA announced the decision on October 14, 2026 in a press release. It names Circle Internet Financial Europe SAS as the EU issuer.
According to the EBA, 45 EMTs have been notified under MiCA so far, and USDC is the first to be classified as significant.
What changes on November 12
From November 12, 2026, USDC moves to the dual supervision that MiCA sets for significant EMTs. Four areas of supervision move from France’s Autorité de Contrôle Prudentiel et de Résolution (ACPR) to the EBA on that date; the rest stay with the ACPR:
| Area | Supervisor from November 12, 2026 |
|---|---|
| Own funds | EBA |
| Reserve of assets | EBA |
| Liquidity requirements | EBA |
| Recovery and redemption plans | EBA |
| Governance, qualifying holdings, fit and proper checks | ACPR |
| Outsourcing and conflicts of interest | ACPR |
The EBA says it and the ACPR will work together on the transition. On its page about its supervisory role under MiCA, the EBA explains that for significant EMTs issued by electronic money institutions it supervises compliance with the additional requirements for such tokens, “mainly on liquidity and own funds”. It also sets up and chairs a supervisory college for each issuer of a significant token.
A US link in the decision
USDC has two issuers: Circle Internet Financial Europe SAS in the EU and Circle Internet Financial, LLC in the United States. To support supervision of cross-border stablecoin activity, the EBA has signed a memorandum of understanding with the New York State Department of Financial Services. The EBA says the agreement allows the two authorities to cooperate and exchange information.
How the EBA decides
Under Articles 43 and 56 of MiCA, the EBA classifies asset-referenced tokens and EMTs as significant. It reassesses each year whether a token should be considered significant or still meets the criteria. The EBA’s supervisory-role page says a token is significant when at least three of the criteria are met. Commission Delegated Regulation (EU) 2024/1506 sets out the indicators, and EBA Decision EBA/DC/558 sets out the procedure.
The EBA’s release does not publish the figures behind the USDC assessment.
The reserve question
The classification matters for how USDC’s EU reserve is held. In its October 1, 2026 response to the European Commission’s MiCA review, Circle wrote that MiCA requires EMT issuers to hold at least 30% of reserve assets in commercial bank deposits, “rising to 60% for issuers of EMTs classified as ‘significant’”. Circle said the rule increases exposure to bank credit and counterparty risk, and asked for it to be reconsidered. That is Circle’s position in a consultation, not a change in the law.
For the MiCA rules that apply to dollar and euro tokens, see our MiCA and stablecoins guide. USDC’s issuer, reserves and redemption terms are on its stablecoin list entry. Our earlier report covers ESMA’s opinion on non-MiCA stablecoins.
Questions
Does the classification change how USDC works for holders?
The EBA release describes a change in who supervises the issuer, from November 12, 2026. It does not announce changes to redemption terms.
Is EURC affected?
The EBA release concerns USDC only.
Can a token stop being significant?
The EBA assesses tokens every year to decide whether they should be considered significant or continue to meet the criteria.
Sources
- EBA, “The EBA classifies USDC as the first significant e-money token in the European Union,” October 14, 2026
- EBA, “The EBA’s supervisory role under MiCA”
- EBA Decision EBA/DC/558 of September 17, 2024 (PDF)
- Circle, “Circle’s Response to the European Commission’s MiCA Review Consultation,” October 1, 2026
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