🇪🇺 EXCLUSIVE: More MiCA-licensed crypto firms could exit the EU as rising compliance costs strain operators, @Gate Europe CEO Giovanni Cunti. Read more

What happened

Gate Europe CEO Giovanni Cunti said that rising compliance costs under the EU’s MiCA regulation may cause more crypto firms with MiCA licences to leave the European Union.

Analyst inference

Global impact / market context

If crypto firms exit, the EU could lose innovation, jobs, and tax revenue, while investors may see reduced access to regulated crypto services and potentially higher risk in the market.

Analyst inference

The MiCA framework imposes new rules on crypto businesses, and higher compliance spending can squeeze profit margins, prompting firms to reconsider operating in Europe compared with jurisdictions with lighter regulation.

Analyst inference

What to watch

1. Announcements from MiCA‑licensed firms about relocating or shutting EU operations, indicating how compliance costs are affecting business decisions. Analyst inference
2. EU regulator updates on compliance requirements or possible relief measures that could lower costs for crypto firms. Analyst inference
3. Investor flows into or out of EU‑based crypto funds, showing market reaction to potential firm exits. Analyst inference

Evidence

• x.com