MiCA Regulation Raises Stablecoin Market Risks: Experts Warn

New regulations from Europe, the MiCA framework, designed to govern stablecoins, are facing scrutiny for potential systemic risks within the sector. Concerns arise over possible gaps in oversight that could destabilize financial markets. MiCA’s focus on micro-level stability might inadvertently exacerbate broader macroeconomic risks impacting stablecoin markets and major cryptocurrencies like Tether (USDT) and USDC.