European System of Central Banks Urges Wider MiCA Stablecoin Yield Ban as EBA Seeks Lending Rules
Europe's central banks want MiCA's stablecoin yield ban extended to lending, borrowing and staking, while the EBA separately urges the Commission to bring crypto lending itself under MiCA.
Why it matters
A wider yield ban would close the gap by which stablecoin holders earn returns through lending and staking products that sit outside MiCA, and the EBA is asking the same Commission to bring the underlying lending activity under the rulebook. The reserve proposal runs the other way on bank exposure: replacing the fixed deposit floor with one- and five-day liquidity tests would loosen the link between stablecoin redemptions and bank funding while shifting risk toward forced sales of short-dated assets. Both are consultation responses, not law, so the direct effect on stablecoin issuers, lenders and exchanges is still undecided.
Where the sources disagree
Figures that do not reconcile
Found by comparing the numbers in the reports automatically. They are differences, not yet confirmed to be about the same thing.
size of the holdings (keep reserves)
60%
CoinDesk
30%
CryptoSlate
CoinDesk reports 60%, CryptoSlate reports 30% (50% apart).
Key facts
The European System of Central Banks asked the European Commission to extend the stablecoin remuneration ban beyond MiCA-regulated services to crypto borrowing, lending and staking.
57Reported by CoinDesk
The ESCB's response was 57 pages long and was filed against the Commission's targeted consultation on reviewing MiCA.
57Reported by CoinDesk
The ESCB said electronic money is intended for payments and not as a means of saving.
Reported by CoinDesk
The central banks proposed replacing MiCA's requirement that issuers hold at least 30% of reserves in EU credit institution deposits, rising to 60% for significant tokens, with minimum reserve shares in assets maturing within one and five working days.
30 %Disputed figureReported by CoinDesk
The European Banking Authority recommended the Commission consider bringing crypto borrowing and lending under MiCA, including where crypto asset service providers give clients access to DeFi lending protocols.
Reported by Cointelegraph
The EBA's options for DeFi lending include suitability tests, leverage caps, added disclosure and a certification regime for DeFi lending protocols.
Reported by Cointelegraph
MiCA bars stablecoin issuers and crypto-asset service providers from paying interest on stablecoins, but a stablecoin lent out can still earn its holder a yield.
Reported by Unchained
What happened
The European System of Central Banks, made up of the European Central Bank and the EU's national central banks, asked the European Commission in a 57-page response to its MiCA review consultation to extend the existing prohibition on crypto-asset service providers paying remuneration on stablecoins beyond MiCA-regulated services. The ESCB said stablecoins get turned into yield-bearing arrangements through lending, staking and other layered structures, and named loyalty programme benefits, liquidity-mining incentives, rewards, fee reductions and bundled services as indirect payments that should be caught. The same group wants MiCA's rule that issuers keep 30% to 60% of reserves in bank deposits replaced with minimum reserve shares in assets maturing within one and five working days, which CryptoSlate and Reuters reported would let issuers hold more short-term securities and reverse repos while reducing the two-way link between a stablecoin run and bank funding. The European Banking Authority filed a separate response on Sept. 24 urging the Commission to consider bringing crypto borrowing and lending under MiCA, including where licensed firms route clients into DeFi lending protocols; Unchained, citing the EBA's text, reported the regulator found lending intermediated in at least 16 member states and described the activity as growing in volume and value. Cointelegraph reported the EBA's options include suitability tests, leverage caps, added disclosures, warnings that truly decentralised protocols carry no safeguards, and a possible certification regime for DeFi lending protocols, while Crypto News reported the EBA also wants stronger rules for third-country multi-issuer stablecoins, a review of reserve requirements, clearer crypto asset definitions and a revised reporting framework. Both positions feed the Commission's consultation, which CryptoSlate said runs through Sept. 30 and may inform a later legislative proposal, so nothing in either paper changes current law; MiCA's yield prohibition and deposit floor remain in force.
How the story developed
- First report
First report by CryptoSlate
ECB launches ‘digital euro for banks’ and prepares to buy tokenized bonds
- Independent corroboration
Independently corroborated by CoinDesk
European central banks push to expand stablecoin yield ban to crypto lending and staking
- Official statement
ESCB files response calling for a wider MiCA stablecoin yield ban
The ECB and EU national central banks asked the Commission to extend the remuneration ban to lending, borrowing, staking and other indirect-yield products, and to replace the bank-deposit reserve floor with one- and five-day liquidity tests.
- Update
Commission consultation on the MiCA review closes
CryptoSlate reported the consultation runs through Sept. 30 and that the Commission says responses may inform a later legislative proposal.
- Official statement
EBA files separate response urging MiCA rules for crypto lending
The EBA recommended the Commission consider covering crypto borrowing and lending, including firm access to DeFi lending protocols, and floated suitability tests, leverage caps, disclosures and a certification regime.
How coverage built up
Independent sources over time, counted the way the consensus panel counts them: a republication of a wire story does not move the line.
- 21 Sept 2026, 21:00 UTC: CryptoSlate — 1 independent source, 1 reports
- 22 Sept 2026, 14:32 UTC: CoinDesk — 2 independent sources, 2 reports
- 22 Sept 2026, 15:35 UTC: Crypto.News — 3 independent sources, 3 reports
- 22 Sept 2026, 17:19 UTC: Unchained — 4 independent sources, 4 reports
- 22 Sept 2026, 19:41 UTC: Crypto News (CryptoNews.net) — 5 independent sources, 5 reports
- 24 Sept 2026, 10:30 UTC: Cointelegraph — 6 independent sources, 9 reports
Affected entities
Also mentioned: USD Coin, European Securities and Markets Authority, Ethereum, Federal Reserve, Chainlink, Solana, Circle
Original sources
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