New York and EU regulators unite to oversee stablecoins

The European Banking Authority and the New York State Department of Financial Services have signed a memorandum of understanding to oversee cross-border stablecoin activity. The accord, part of the EBA’s duties under the Markets in Crypto-Assets (MiCA) Regulation, outlines principles and procedures for exchanging information and coordinating supervisory activities, market trends and risks between New York and the European Union.

Under the memorandum, the two regulators will share data such as the issued stablecoin, total volume in circulation, the number of holders, results of external and internal audits and the regulatory standing of specific products and services. The MOU also establishes a framework for mutual assistance and coordination during crises or emergencies, while limiting monitoring to supervised entities’ stablecoin-related activities rather than all a company’s operations.

eba, nydfs, stablecoins, mica, mou, cross-border, information sharing, audits, mutual assistance, regulatory coordination