Headline: MiCA is reshaping Europe’s crypto landscape — SwissBorg says tighter rules will thin the field but boost resilience
The EU’s recently adopted Markets in Crypto‑Assets (MiCA) rulebook is starting to redraw the map for digital‑asset businesses operating in Europe, creating both hurdles and openings for firms that want to serve EU clients, Swiss wealth manager and crypto platform SwissBorg says.
SwissBorg — which counts about one million registered users and $1.3 billion in assets under management — is positioning itself as a beneficiary of the regulatory shift after securing a MiCA license. The company plans to migrate its European operations from an Estonian entity to a newly authorized French crypto-asset service provider (CASP) in the coming months, once operational readiness is confirmed, with initial market targets including Germany, the Netherlands, Italy and Spain. SwissBorg says the French approval validates its internal controls, risk management and user‑asset safeguards.
“The economics of crypto brokerage can be challenging during softer market cycles, and some global platforms may reassess where they allocate capital and operational resources,” SwissBorg Chief Operating Officer Jeremy Baumann told CoinDesk. He expects that dynamic to produce “a market composed of fewer but more resilient players. MiCA raises the regulatory and operational standards required to serve European clients, which may reduce the number of lightly structured players,” he said, citing recent exits by some global exchanges from the EU as an example.
That retreat by some global platforms could open space for European firms to strengthen their foothold, Baumann added. He also highlighted how greater regulatory clarity may eventually attract more institutional participation — though for now Europe’s crypto market remains largely retail-driven.
Baumann expects product changes as well: yield and staking offerings will move toward clearer disclosures, stronger risk controls and more standardized structures. “The framework around stablecoins is more detailed and will shape how certain yield models are designed and distributed,” he said. SwissBorg currently reports roughly $800 million in total value locked (TVL), per DefiLlama data.
The company was itself the target of an exploit in September 2025 that affected fewer than 1% of users, SwissBorg said. The firm reported 192,600 SOL (about $41.5 million) stolen from an external wallet used exclusively for its SOL Earn strategy; SwissBorg attributed the breach to a partner’s compromised API rather than a direct hack of its platform.
On broader industry dynamics, Baumann noted traditional financial institutions bring distribution reach and regulatory know‑how, making them both competitors and potential partners for crypto firms. He also flagged ongoing policy debates around stablecoins and yield products: while much discussion has centered in the U.S., European regulators are focused on clear rules for issuance, reserves and distribution that will influence how products are structured going forward.
In short: MiCA is raising the bar for firms operating in the EU. That may thin the herd, but proponents say it could leave a smaller set of better‑capitalized, better‑governed players and create opportunities for European incumbents and regulated newcomers.
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