The Interactions Between the Payment Services Directive (PSD) and the Market in Crypto-Assets Regulation (MiCA)

To help readers understand the current regulatory landscape, Adan shares a brief analysis of the impact of the Market in Crypto-Assets Regulation (MiCA) and its interaction with the Payment Services Directive (PSD). Since the (partial) implementation of MiCA on June 30, the new rules regarding stablecoins mark a decisive turning point for the industry. However, uncertainties remain regarding how stablecoin issuers and Digital Asset Service Providers (DASPs) must simultaneously comply with the requirements of both MiCA and the PSD, which is causing concern within the sector.

Key points of this analysis

The interaction between the PSD and MiCA introduces complexities for market participants. When stablecoins are classified as "funds" under the PSD, they impose new compliance requirements on PSANs, adding to the administrative burden of operations beyond the scope of MiCA regulations. Furthermore, by requiring PSANs to comply with PSD conditions, certain risks regarding access to traditional payment infrastructures remain, hindering the integration of stablecoins into conventional payment systems and limiting their use within the crypto ecosystem.

ADAN first raised this issue a year ago, and the Association continues to work on this topic. In this context, the Association offers a simple explanation to clarify this issue and its impact on industry stakeholders, particularly CASPs.

This issue of major importance warrants the attention of all stakeholders in the sector so that they can best anticipate the potential regulatory implications.