EU Crypto Law: MiCAR & Travel Rule.

EU Crypto Law: MiCAR & Travel Rule.

By Panayotis C. Yannakas

MiCAR didn’t just regulate stablecoins; it rewired the entire holder–issuer relationship.   > Traditional e‑money needs a contract. > Cryptos create rights by law, even for people who never met the issuer.

Under the EU’s Travel Rule, self‑hosted wallets are still allowed, but never invisible.  Every transfer through a CASP triggers identity checks, blockchain analysis, and permanent address linking.

The Systemic Risk Paradox

MiCAR was designed to reduce risk; yet it pushes stablecoin reserves into the very banking system they were meant to bypass.

The story

EUR Stablecoins and MiCAR: A Critical Assessment