- December 30, 2025
- 744 views
- 25 minute read
The Markets in Crypto-Assets Regulation (MiCAR) represents the European Union’s response to regulate multiple categories of digital assets across different scenarios of use. While MiCAR addresses crypto-assets broadly, this essay focusses specifically on its treatment of stablecoins, with particular emphasis on E-Money Tokens (EMTs); crypto assets that maintain stable value by linking themselves to a single traditional currency via distributed ledger technology. The essay traces how the concept has developed from traditional electronic money under Directive 2009/110/EC to a specialised EMT regime. The essay also follows the authorisation requirements and reserve obligations imposed on issuers. Lastly, evaluates the practical implications of the regulation’s full application since December 2024. As EUR-backed stablecoins move from being niche instruments to regulated parts of the EU, lawyers and fintech experts in Cyprus and all over Europe need to know how this framework works.