MiCA deadline left 1,062 EEA crypto firms without authorization

Only 281 of 1,343 crypto service providers operating across the European Economic Area have secured MiCA authorization after the EU’s final transition period expired on July 1, leaving more than 1,000 firms without approval under the bloc’s licensing regime. Summary Only 281 of 1,343 EEA crypto service providers secured MiCA authorization by July 1. High or Severe risk ratings applied to 12% of unauthorized firms, compared with 2% of authorized providers. Unauthorized firms sent $5 billion directly to sanctioned counterparties, about three times the $1.7 billion recorded among authorized firms. Germany authorized 55 firms, while Poland issued no authorizations despite its previous register exceeding 1,800 entries. According to blockchain intelligence firm TRM Labs, 1,062 firms in its dataset had not obtained authorization under the Markets in Crypto-Assets Regulation by the deadline and must now leave the market, restructure their operations or transfer customers to an authorized provider. The gap extends beyond licensing. TRM found that 12% of firms without authorization carry a High or Severe risk rating, compared with 2% of authorized providers, while every firm assigned a Sever...