Following the end of the transitional period under Regulation (EU) 2023/1114 on Markets in Crypto-Assets1 (MiCA Regulation), the Cyprus Securities and Exchange Commission (CySEC) reminds investors that as of July 1, 2026, the provision of cryptocurrency services is permitted only in accordance with the provisions of the MiCA Regulation.

In this regard, the European Securities and Markets Authority (ESMA) has issued a new Public Statement (available here). Inter alia the Public Statement includes the following Warning for Consumers: “ESMA reminds clients of unauthorised CASPs, whether EU or non-EU entities, that they do not benefit from MiCA safeguards, including protections for client assets. Clients using crypto-asset services in the EU are invited to verify whether their provider is authorised under MiCA in the ESMA Register and act promptly where this is not the case, including by transferring their crypto-assets to an authorised CASP, where one is identified, or to a self-hosted wallet.

Clients experiencing difficulties should contact their provider in the first instance. ESMA and National Competent Authorities (NCAs) are directly engaged with the entities concerned and will coordinate to monitor whether significant unauthorised cross-border CASPs wind down without delay, with a focus on client protection, financial stability and market integrity.

ESMA and NCAs will also work together with EBA and AMLA. Within the ESMA cooperation framework, NCAs may, where necessary, take coordinated action against unauthorised CASPs after the transitional period.”