EBA Urges Broader MiCA Rules for Crypto Lending

The European Banking Authority has called for expanding MiCA to cover crypto lending and DeFi access, citing regulatory gaps since the framework took full effect on December 30, 2024. Its September 24 response to the Commission's consultation, which closed September 30, proposes suitability checks, leverage limits and a certification system for decentralized lending protocols. ESMA also demanded enforcement powers. The Commission must report by June 30, 2027.