ESMA shifts MiCA focus from rulemaking to supervision and coordination
The European Securities and Markets Authority (ESMA) announced that in 2027, under the Markets in Crypto-Assets Regulation (MiCA), its primary focus will shift to supervising operational resilience, outsourcing risks, and ensuring crypto firms maintain sufficient activity within the EU. ESMA Chair Verena Ross highlighted the regulator’s strategic shift from rulemaking towards a stronger emphasis on supervision and coordination among national regulators.
ESMA’s Strategic Shift under MiCA
In remarks before the European Parliament’s Committee on Economic and Monetary Affairs, ESMA Chair Verena Ross emphasized the regulator’s shift from rulemaking towards supervision and convergence under the Markets in Crypto-Assets Regulation (MiCA). The goal is to foster innovation within a clear framework that protects investors and instills market confidence.
Key Priorities for ESMA’s 2027 Work Program
In its published 2027 work program, ESMA outlined its focus on coordinating national supervisors of crypto asset service providers (CASPs). The program highlights operational resilience, outsourcing risks, liquidity assessment, reverse solicitation, and asset classification as core supervisory areas.
Standardizing Reporting and Enhancing Surveillance Tools
ESMA plans to harmonize CASPs’ periodic reporting to national authorities, facilitating more efficient oversight through common risk indicators and supervisory dashboards. A central feature will be the further development of MIDAS, a centralized crypto-market surveillance system for detecting potential market abuse. The first phase of MIDAS is expected to be fully operational by 2027.
Preparing for MiCA Review and Legislative Developments
ESMA intends to leverage its supervisory insights as input for the European Commission’s scheduled MiCA review by June 2027. The regulator is also preparing for any subsequent legislative proposals that may arise from this review.
Why it matters
ESMA's new focus marks a pivotal shift from rulemaking to active supervision, which is set to impact EU cryptocurrency regulation significantly. Emphasizing operational resilience and outsourcing risks aims to enhance market reliability and investor protection. The standardization of reporting and adoption of centralized monitoring systems like MIDAS will enable more transparent and effective oversight. These developments highlight the EU’s maturing regulatory approach to crypto-assets and may serve as a model for other jurisdictions.
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