Cyprus suspends crypto asset service provider applications in preparation for EU MiCA regulation transition

The Cyprus Securities and Exchange Commission (CySEC) has announced that it will suspend applications for Crypto-Asset Service Providers (CASPs) in preparation for the upcoming European Union's Crypto-Asset Markets (MiCA) regulation, which will come into effect on December 30. CySEC stated that it will no longer accept CASP applications based on Cypriot national law starting from October 17. CASPs that successfully register before the December 30 deadline can continue to operate under national law until July 1, 2026, unless they obtain or are denied authorization under Article 63 of MiCA beforehand. CySEC has advised relevant parties to refer to the draft technical standards published by the European Securities and Markets Authority (ESMA) to prepare for the upcoming MiCA regulation. From October 30, CySEC will cease to accept notifications from European Economic Area entities to provide services under Cypriot national rules.