A few days before the end of the transitional period provided for under the MiCA Regulation, ESMA has issued guidance to unauthorised crypto-asset service providers. “While many CASPs (Crypto-Asset Service Providers) will obtain authorisation by 1 July 2026, other entities, including major providers currently offering services to EU clients under national regimes, may not be authorised by that deadline,” ESMA stated in a statement published on its website.

In particular, the European Authority stressed that unauthorised CASPs must take immediate steps to wind down their activities in the European Union in an orderly manner, while safeguarding clients’ interests and mitigating risks to the market. Specifically, they must immediately stop onboarding new clients and carrying out marketing activities, and must limit the provision of services to the sale or transfer of crypto-assets or to the closure of positions. Custody services may continue only for the period strictly necessary to ensure the orderly closure of clients’ positions.

In addition, unauthorised CASPs must communicate “clearly, promptly and repeatedly” with clients on the measures adopted to safeguard their assets and on their “wind-down plans”, so that clients are aware of the timeline for the disposal, transfer or closure of their positions. In this context, ESMA reminds unauthorised CASPs that they may not provide MiCA services or solicit clients in the European Union.

In the document, ESMA also warns clients of unauthorised CASPs, whether EU or non-EU entities, that they do not benefit from the safeguards and protections provided for under MiCA. Clients should therefore check ESMA’s Register to verify whether their provider is authorised under the MiCA Regulation and, where this is not the case, take prompt action, including by transferring their crypto-assets to an authorised CASP or to a so-called self-hosted wallet.