The European Banking Authority has classified Circle’s USDC as the European Union’s first significant e-money token under the Markets in Crypto-Assets Regulation, after assessing the criteria set out in the law. The decision applies to USDC issued in the EU by Circle Internet Financial Europe SAS, which is based in France and authorized by the French banking supervisor, the ACPR.
The EBA will take direct responsibility for areas including own-funds requirements, reserve assets, liquidity and recovery and redemption plans, while the ACPR will continue overseeing governance, qualifying holdings, management suitability, outsourcing and conflicts of interest.
The EBA said 45 e-money tokens have been notified under MiCA, but USDC is the first to receive the significant classification. Under MiCA, a token can be designated significant when it meets at least three regulatory criteria; the classification is reassessed annually and supervisory powers can later move back to the issuer’s national authority if the criteria are no longer met.
Circle’s MiCA documentation says USDC issued for European Economic Area holders is backed by an equivalent amount of dollar-denominated assets held in segregated accounts and redeemable at par. The document lists 73 billion USDC outstanding as of Sept. 6, 2026, and says Circle SAS became a second, dual issuer of USDC alongside its U.S.
The EBA has also signed a memorandum of understanding with the New York State Department of Financial Services to support cooperation and information exchange over Circle’s cross-border stablecoin activity. The move comes as dollar-pegged tokens remain important to cross-border digital payments, while European policymakers continue work on a possible digital euro.