Interplay between MiCAR and PSD2: Update on the EBA No-Action Letter

The beginning of March 2026 marks the end of an important transition period for crypto asset service providers (CASPs) that provide certain payment services in connection with stablecoins that are considered e-money tokens.

The corresponding transitional rules are based on the EBA's No-Action Letter of 2 June 2025EBA's No-Action Letter of 2 June 2025, in which the European banking supervisory authority  (EBA) recommended, among other things, that national supervisory authorities should not require CASPs to obtain authorization under PSD2 or national PSD2 implementation laws (in Austria, the ZaDiG 2018) during the transition period.

On 12 February 2026, the EBA published a new opinion (EBA/OP/2026/01) (see also this EBA press release) setting out its expectations for CASPs that wish to provide payment services relating to e-money tokens after 2 March 2026.

Here we summarize the new EBA recommendations for you:

Procedure after 2 March 2026

The current EBA recommendations differentiate between the following three scenarios:

Obtaining a PSD2 license or operating as an agent

CASPs that have a PSD2 license or act as agents of a payment, e-money, or credit institution may continue to provide custody and administration of EMTs after the transition period has expired.

Furthermore, EBA states that national supervisory authorities should check whether the institutions involved require authorization under MiCAR, without, however, formulating specific criteria. It therefore remains to be seen how national supervisory authorities will deal with this cryptic audit recommendation from the EBA in practice.

PSD2 license application submitted but not yet approved

According to the EBA, CASPs that have applied for a PSD2 license during the transition period should remain authorized to provide custody and administration services in connection with EMTs until a decision is made. However, the following conditions must be met in accordance with the EBA's recommendations:

• the license application is complete and contains all the necessary documents;
• the crypto service provider answers questions from national supervisory authorities comprehensively, transparently, and promptly;
• the competent national authority has verified that the applicant is not subject to any supervisory measures and has not violated any requirements under MiCAR or other EU legislation (e.g., anti-money laundering) that would be material and relevant for authorization under PSD2, including interaction with the relevant national authority under MiCAR, if necessary;
• based on its preliminary assessment, the national competent authority under PSD2 has no reason to believe that the applicant is unable to comply with PSD2, and there are reasonable grounds to believe that the application will be approved within a very short time.

Furthermore, EBA clarifies in its Opinion that CASPs providing custody and administration of EMTs between the application and the decision of the national supervisory authority should not engage in any marketing activities for EMT-related payment services before the license is granted. According to the EBA, they are also not allowed to accept new customers for EMT services. However, these restrictions do not apply to crypto service providers operating on the basis of a national transition period in accordance with Art 143 para 3 MiCAR.

No PSD2 license applied for or application rejected

CASPs that have not applied for a PSD2 license before the end of the transition period or whose PSD2 license application has been rejected by the competent national supervisory authority must, according to the EBA, discontinue their EMT-related custody and transfer services as of 2 March 2026.

Supplementary interpretation note

The EBA Opinion also specifies that the execution of transfers involving EMTs is considered a payment service, regardless of whether a custodial wallet offered by a CASP qualifies as a payment account.

What does this mean?

According to the EBA opinion, CASPs must reassess the EMT-related services they offer to decide whether they qualify as payment services. If this is the case, a PSD2 license application should be prepared and submitted to the competent supervisory authority, if this has not already been done.

Alternatively, a partnership with a appropriately licensed payment service provider should be established quickly. In view of the approaching deadline of 2 March 2026, we recommend that you carry out a review immediately and take action if necessary.

How can we support you?

With our comprehensive expertise in both payment and crypto services, we are happy to support you in the legally compliant and efficient implementation of stablecoin-related business models, in particular in reviewing various licensing requirements and related structuring issues, through to preparation and representation in licensing proceedings. We can also connect you with payment service providers and assist you in negotiating appropriate cooperation agreements.

Our experience with PSD2 licensing procedures in Austria is unparalleled, as we have supported and represented most of the payment institutions based in Austria.