The European Union’s July 1 MiCA deadline could force over 10 million crypto users to look for new trading platforms. Exchanges that do not get regulatory approval are starting to limit or close their services across the region. The European Securities and Markets Authority (ESMA) has told firms without a Markets in Crypto-Assets (MiCA) license to shut down and help customers move their assets to approved providers or self-custody wallets.
Industry leaders think the impact could be major. OKX Europe CEO Erald Ghoos says up to 80% of Europe’s previously registered virtual asset service providers (VASPs) may not be able to keep operating under the new rules.
Alex Fazel, Chief Partnership Officer at SwissBorg, said users will be most affected as exchanges pull back services. He compared it to tenants suddenly having to leave their homes and advised customers to pick platforms for long-term trust, security, and regulatory stability instead of short-term financial perks.
These regulatory changes come as the European Banking Authority (EBA) has also suggested penalties of up to 12.5% of yearly turnover for major stablecoin issuers who break MiCA rules. The public can give feedback on the proposed penalties until September 28.
Some major exchanges, like Binance, have already announced changes to their European operations, while others are still trying to get MiCA approval. At the same time, licensed companies such as Coinbase and OKX are offering incentives to attract customers leaving unapproved platforms.
While promotions may get users to switch exchanges, Fazel thinks trust, compliance, and long-term commitment to the European market will matter more than short-term bonuses. As MiCA takes full effect, Europe’s crypto industry is set for one of its biggest regulatory changes, with only fully licensed providers able to operate across the region.
Over 2500 Crypto Companies Could Wind Down Operations by July 1
More than 2,500 digital asset entities across Europe are on the verge of total shutdown as the MiCA transitional window officially closes on July 1.
Of the 3,000+ firms active and registered in 2024, only 244 have… pic.twitter.com/OIvkTgeT9T
— BSCN (@BSCNews) June 29, 2026
Final Report: esma.europa.eu
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