EU central banks seek changes to MiCA stablecoin reserve rules

The ECB and the EU's 27 national central banks are calling for changes to MiCA rules that require major stablecoin issuers to hold 60% of their reserves as bank deposits.
The central banks argue that large and volatile stablecoin flows could expose commercial banks to sudden deposit withdrawals if issuers are required to maintain such a large share of reserves within the banking system.
Instead, they are advocating greater use of highly liquid reserve assets with maturities of roughly one to five working days. Any change would alter the reserve framework for major stablecoin issuers operating under EU rules.