The European Union’s landmark crypto regulation is already showing signs of needing an upgrade, and senior EU officials are openly acknowledging it. The supporting evidence appears in Singapore isn’t a ‘crypto hub’ — it’s something better: StraitsX CEO.
Peter Kerstens, adviser on technological innovation, digital transformation and cybersecurity at the European Commission’s financial services department, told attendees at Paris Blockchain Week 2026 that a follow-up framework commonly referred to as “MiCA 2” would be “rather unusual” not to expect over time.
Kerstens said the Commission plans to launch a public consultation with “no taboos,” inviting crypto traders and investors to identify where existing rules should be expanded, adjusted or left untouched.
His remarks signal that EU policymakers are actively reassessing whether the current Markets in Crypto-Assets Regulation still fits the industry it was built to govern.
A Framework Built for a Different Market
Kerstens was direct about why revision is being considered. He said MiCA was designed at a time when crypto markets were dominated by a handful of large assets alongside many smaller tokens.
The ecosystem has since grown more complex, with new asset classes, broader institutional participation and stablecoin infrastructure that has scaled well beyond the original regulatory assumptions.
That evolution, he argued, does not mean the existing framework is broken. The review process is built directly into the regulation. Under the Official Journal of the European Union, MiCA requires the European Commission to report on its application by June 30, 2027, with the option to accompany that report with new legislative proposals if the evidence supports them.
Kerstens framed the upcoming consultation as an opportunity rather than a crisis response. He warned, however, that inaction carries its own risks.
If regulation fails to evolve alongside innovation, he said, markets will develop workarounds, creating legal uncertainty that ultimately harms both businesses and consumers across the bloc.
Industry Pressure Is Already Building
The call for revision comes as real-world friction with MiCA’s current provisions has started surfacing across the industry. On March 24, stablecoin issuer Circle urged the European Commission to adjust parts of its proposed Market Integration Package.
Circle specifically asked for lower thresholds that currently cap the use of euro-denominated stablecoins in settlement transactions, and called for expanded access rights for crypto-asset service providers operating under MiCA licenses.
Circle’s intervention reflects a broader concern among stablecoin issuers that MiCA’s volume limits could constrain the practical utility of compliant euro stablecoins at a time when dollar-denominated alternatives face fewer usage restrictions globally.
The competitive implication for European financial infrastructure is not lost on Commission staff.
Supervision architecture is also under debate. On April 3, EU officials weighed whether responsibility for overseeing major crypto firms should shift to the European Securities and Markets Authority, known as ESMA.
The discussion was driven by concerns over inconsistent enforcement across member states, a structural weakness that a more centralized supervisory model could address. No final decision has been announced as of the Paris Blockchain Week sessions.
Taken together, the stablecoin threshold debate and the ESMA supervision question illustrate exactly the kind of implementation gaps Kerstens described.
Rules that seemed adequate at drafting stage are now being stress-tested by a market that has grown faster and in different directions than anticipated when MiCA was finalized.
Kerstens was careful not to preview specific outcomes. He said he could not predict what a future revision would contain, but emphasized that the public consultation would be the primary mechanism for shaping whatever comes next.
The Commission’s stated intention is to gather structured feedback before drafting any proposals, meaning the industry has a formal window to influence the next iteration of EU crypto law.
For crypto firms operating in Europe, the practical message from Paris Blockchain Week is that regulatory engagement is no longer optional.
The companies that provide detailed, evidence-based input during the consultation phase will be better positioned to influence a MiCA revision that, by the Commission’s own account, is already moving toward the agenda.
Whether that process produces targeted amendments or a more sweeping overhaul will depend heavily on what the 2027 application review surfaces.
Not Financial Advice: This article is for informational purposes only. Crypto investments are highly volatile. Always do your own research.
