Diverging Views on Stablecoin Oversight

The European Commission has adopted a measured stance on stablecoin regulation, countering more cautious warnings from the European Central Bank. In official communications obtained by Cointelegraph, Commission representatives characterized risks from cross-border stablecoin issuance as "highly manageable" under existing frameworks.

Regulatory Tension Emerges

This positioning follows an April ECB non-paper highlighting potential systemic risks from joint stablecoin ventures between EU and non-EU entities. The central bank specifically warned about:

• Liquidity mismatches in reserve holdings
• Regulatory arbitrage opportunities
• Consumer protection gaps

Notably, the ECB's analysis suggested foreign-held stablecoins could account for 【60%】 of circulating supply while maintaining less than 【40%】 of reserves in EU jurisdictions.

Commission's Counter Analysis

Brussels responded in June with its own technical assessment, emphasizing three key safeguards within the Markets in Crypto-Assets (MiCA) regulation:

1. Reserve rebalancing requirements for issuers
2. Geographic allocation mandates for asset backing
3. Supervisory coordination mechanisms

——"The architecture intentionally creates friction against regulatory shopping," a Commission spokesperson noted—— while acknowledging major stablecoin operators like Tether have opted against EU registration.

Industry Welcomes Pragmatic Approach

Market participants have largely applauded the Commission's stance. Juan Ignacio Ibañez of MiCA Crypto Alliance told Cointelegraph the position preserves stablecoins' cross-border functionality while maintaining oversight.

"Forcing jurisdictional silos would undermine blockchain's inherent value proposition," Ibañez remarked, noting that daily cross-border stablecoin volumes exceed 【$50 billion】 globally.

Implementation Challenges Ahead

Observers identify several unresolved issues:

• Monitoring protocols for non-EU reserves
• Crisis management coordination
• Tax treatment of redemption flows

The divergence between monetary authorities and executive bodies suggests ongoing negotiations as MiCA's stablecoin provisions take full effect in June 2025. Market participants await final technical standards from the European Banking Authority expected this September.