PARIS, June 23, 2026 — The European Securities and Markets Authority has called on unauthorised crypto-asset service providers to immediately begin winding down their European Union activities in an orderly manner ahead of the end of the Markets in Crypto-Assets Regulation (MiCA) transitional period on July 1, while taking steps to safeguard clients’ interests and mitigate risks to market integrity.
ESMA said many crypto-asset service providers are expected to have obtained authorisation by the deadline, but some firms, including significant providers currently serving EU clients under national transitional regimes, may not be authorised in time. Those firms are expected to begin an orderly wind-down of their EU activities immediately after the transitional period expires.
Wind-down expectations
According to ESMA, unauthorised crypto-asset service providers must immediately stop onboarding new EU clients, refrain from opening new client relationships or accounts, and cease marketing and solicitation activities. They should limit services to those strictly necessary to sell or transfer crypto-assets, reallocate assets or close positions, while custody of client assets may continue only for the period strictly necessary to complete an orderly exit.
The regulator also expects firms to communicate clearly, promptly and repeatedly with retail and institutional clients about their wind-down plans, including the timetable for transferring, disposing of or closing positions and any deadline after which remaining positions would be closed automatically. Wind-down arrangements must continue to comply with applicable conduct rules as well as anti-money laundering and counter-terrorist financing obligations.
Non-EU providers and client protection
ESMA reminded crypto-asset service providers established outside the European Union that they cannot provide MiCA-regulated services to EU clients or solicit EU clients except where services are provided solely at the client’s own exclusive initiative under MiCA’s narrow reverse solicitation regime. The regulator also reiterated that MiCA prohibits crypto-asset service providers from outsourcing certain services, including custody, to entities that are not authorised as crypto-asset service providers.
The authority urged consumers to verify whether their provider is authorised under MiCA through the ESMA Register and warned that clients of unauthorised providers do not benefit from MiCA safeguards, including protections for client assets.
Why it matters
The statement provides operational guidance ahead of one of the most significant milestones in MiCA’s implementation. From July 1, 2026, crypto-asset service providers that are not authorised under MiCA are expected to carry out an orderly wind-down of their EU activities, while firms wishing to continue providing MiCA-regulated services must obtain authorisation.
