Patrick Hansen, a senior policy executive at Circle, expressed optimism about the growth of Euro-based stablecoins following the imminent rollout of the Markets in Crypto-Assets (MiCA) regulation in the European Union.

Hansen highlighted a significant rise in Euro stablecoin transactions to 1.1%, up from nearly zero in previous years, signaling increasing adoption.

MiCA, set to be enforceable from June 30, aims to bring clarity and stricter regulations to the EU crypto market, potentially reshaping stablecoin dynamics.

The regulation mandates compliance with stringent capital and reserve requirements by December 2024, affecting all stablecoin issuers operating within the EU, including major entities like Tether Holdings and Circle.