EBA recommends bringing crypto lending under MiCA
The European Banking Authority wants intermediated crypto lending and borrowing — including access to DeFi lending protocols — added to MiCA's list of regulated services.
In its consultation response, the EBA asked the Commission to run a cost-benefit analysis and consider making lending intermediation a licensed service.
Firms that route EU clients to DeFi lending protocols could face suitability tests, leverage limits and additional disclosures. The EBA also floated a certification scheme for which DeFi protocols licensed firms may use.
The EBA noted crypto lending already operates in at least 16 member states.
Lending desks and DeFi gateways serving EU clients should expect licensing questions from banks and payment partners well before any rule change is final.