MiCA CASP Transition: What Changed After 1 July 2026

As of 1 July 2026, crypto-asset service providers (CASPs) that depended on MiCA’s transitional “grandfathering” period can no longer rely on it to provide covered services to EU clients. ESMA set that date as the EU-wide endpoint; providers without the applicable authorisation must stop relevant services and wind down in an orderly way. Some national transition periods ended earlier, and firms that did not qualify under national law could not use grandfathering. For users, the key check is the exact legal entity—not just the brand—and its status in the ESMA register.

What ended on 1 July 2026?

Article 143(3) of the Markets in Crypto-Assets Regulation (MiCA) allowed Member States to let certain firms that were already providing crypto-asset services under applicable national law before 30 December 2024 continue during a limited transition. Depending on the national regime and the firm’s application, that period ended when authorisation was granted or refused, or no later than 1 July 2026. Member States could also provide for an earlier end or not apply the transition.

That makes 1 July the final EU-wide backstop, not a fresh grace period for every crypto business. ESMA says firms that were not lawfully providing services before 30 December 2024, and firms in countries where the transition had already ended, could not rely on it. After the deadline, a provider still relying only on grandfathering cannot continue the covered activity as business as usual.

MiCA authorisation attaches to a legal entity and the services it is permitted to provide. A familiar group or app brand is not, by itself, proof that the specific company named in a customer’s contract is authorised. ESMA also says firms established outside the EU cannot provide MiCA services to EU clients or solicit them, except under the narrow reverse-solicitation exception. That exception is not a general route for marketing to EU customers.

What unauthorised providers are expected to do

ESMA’s June 2026 statement describes an orderly exit, not an abrupt abandonment of clients. An unauthorised CASP should:

Stop onboarding new EU clients, opening new accounts and marketing or soliciting EU business.
Limit services to steps needed to sell or transfer crypto-assets, reallocate assets or close positions. Custody should continue only for the time strictly necessary to complete an orderly exit.
Communicate clearly and repeatedly about safeguards, timelines and available actions. ESMA says communications should also explain any deadline for automatically closing residual positions and relevant client-protection requirements.
Maintain applicable conduct and anti-money-laundering controls throughout the wind-down.

If clients are moved to an authorised CASP, the receiving provider must complete its own onboarding and customer-due-diligence checks. A group migration announcement does not replace those checks or establish which legal entity will serve the client.

How EU crypto users can check a provider

Find the contracting entity. Check the legal name in the account terms, custody agreement or latest client notice. Do not rely on an app name, brand or the authorisation of another company in the same group.
Check ESMA’s MiCA register. Search for that legal entity and confirm it is listed as an authorised CASP. ESMA republishes the interim register weekly, so a recent supervisory update may not appear immediately; if the result is unclear, check with the relevant national competent authority as well.
Ask the provider for its post-transition plan. If it says it is winding down or moving accounts, request the relevant dates, how assets can be transferred or positions closed, and which entity will provide any continuing service.
Treat messages and links cautiously. Use contact details and account notices reached through the provider’s verified channels. A transition announcement can also be imitated by phishing messages.
Act on verified information. ESMA tells clients of unauthorised CASPs to act promptly and identifies transfer to an authorised provider or to a self-hosted wallet as possible routes. Each route has practical and security risks; confirm instructions directly with the provider and consider your own custody capabilities before acting. If access is disrupted, ESMA advises contacting the provider first.

Clients using an unauthorised entity do not receive MiCA safeguards, including protections relating to client assets, according to ESMA. The status of one company should not be inferred from another company’s authorisation—even where both use the same brand.

Common questions

Does the deadline mean every crypto exchange had to stop serving EU users?

No. It ended the temporary national-law route for firms that relied on MiCA grandfathering. CASPs authorised under MiCA can continue within the services covered by their authorisation. A firm without an applicable permission must stop the relevant unauthorised activity and wind down as required.

Is a provider authorised if its brand appears in the register?

Check the legal entity, not just the brand. ESMA’s guidance says MiCA protections depend on the specific authorised entity serving the client; a group company or non-EU affiliate is not automatically covered by another entity’s authorisation.

What if the provider is missing from ESMA’s register?

Do not treat one search as the whole answer: ESMA says the interim register is republished weekly and information reported by authorities may not appear immediately. Check the exact legal name, consult the provider and relevant national authority, and seek clarity before relying on a brand-level claim.

Is this the same as DAC8 crypto tax reporting?

No. MiCA’s CASP authorisation rules and DAC8’s tax-information reporting are separate EU regimes. DAC8 concerns information collection and exchange; it does not grant a provider permission to offer crypto-asset services.

Sources

If your team is translating new authorisation boundaries into a customer-facing digital service, talk with SignorCrypto about product design, technical architecture and integrations.