Since 1 July 2026, any company offering crypto services to people in the EU must hold a licence under MiCA, the EU's Markets in Crypto-Assets Regulation. One licence, from one country's regulator, covers the whole EU, and you can check every licensed firm on ESMA's public register. Tax is still set by each country, but from 2026 crypto platforms report your transactions to tax authorities under DAC8.
This guide explains what MiCA means for you, how to check a platform, what changes for stablecoins and transfers, and how tax works across the EU.
At a glance
| Topic | The short version |
|---|---|
| Rules | MiCA, applying in full since 30 December 2024 |
| Check a platform | ESMA register of crypto-asset service providers |
| Licence deadline | 1 July 2026 for firms using national transition periods |
| Tax on gains | Set by each country |
| Tax reporting | DAC8: platforms collect data from 2026, shared from 2027 |
| Report a scam | Your national police and financial regulator |
MiCA: one set of rules for the whole EU
MiCA has applied in full since 30 December 2024. Firms that were already operating under national rules got a transition period, which ended on 1 July 2026 at the latest. The European Securities and Markets Authority (ESMA) has said that any firm still without a MiCA licence must:
- stop taking on new EU customers and stop marketing to them
- let existing customers only sell, withdraw or move their assets
- tell customers clearly when any remaining positions will be closed
If your platform has told you it is winding down EU services, act early: move your crypto to a licensed platform or to a wallet you control. ESMA names self-custody as one of the ways out.
What a MiCA licence gives you
- The firm must keep your crypto separate from its own assets.
- It must have minimum capital, a complaints process and clear disclosures of fees and risks.
- It is supervised by a national regulator, such as Malta's MFSA, Luxembourg's CSSF or Austria's FMA.
MiCA does not protect you from price falls, and crypto is not covered by deposit guarantee schemes.
How to check a platform under MiCA
- Find the legal name of the company that will hold your account. It is usually in the terms of service, and is often different from the brand name.
- Search for it on ESMA's register of crypto-asset service providers, on the ESMA website.
- Check that the services listed cover what you want to do, such as custody, exchange or transfers.
- Check your own country's regulator for warnings about unlicensed firms.
Many big brands are licensed through an EU subsidiary. When the register was reviewed in September 2026, licensed exchanges included Coinbase (Luxembourg), Kraken (Ireland), Bitpanda and Bybit (Austria), OKX, Crypto.com and Gemini (Malta), Bitstamp (Luxembourg) and Revolut (Cyprus). Some large global brands, including Binance and Bitget, had no entry at that time. Registers change, so always check the current one yourself.
Stablecoins and transfers: what's different in the EU
Stablecoins
Under MiCA, a stablecoin tied to one currency, such as a euro or dollar token, counts as an e-money token. Only authorised issuers can offer one to the EU public. Because of this, several exchanges stopped offering some unauthorised stablecoins, including USDT, to EU customers. Our stablecoin guide explains the different types.
The travel rule
Since 30 December 2024, licensed platforms must send the name and account details of the sender and recipient with every crypto transfer, just as banks do with wire transfers. If you send more than €1,000 to or from your own wallet, your platform may ask you to prove the wallet is yours, for example by signing a message.
How crypto is taxed in the EU
There is no single EU crypto tax. Each country sets its own rules, and they differ a lot. Two examples:
- Germany: under current law, gains on crypto you hold for more than one year are tax-free. Gains on crypto held for less than a year are tax-free only if your total short-term gains for the year stay under €1,000. Above that, the whole amount is taxed at your income tax rate. A draft bill published in September 2026 would end the one-year exemption for crypto bought from 1 January 2027, but it had not been adopted by the government when we last checked.
- Portugal: gains on crypto held for less than 365 days are taxed at 28%. Gains on crypto held for longer are generally exempt.
Check your own country's tax authority, or see how crypto is taxed around the world for an overview.
DAC8: platforms now report to the tax office
Since 1 January 2026, crypto platforms serving EU residents collect information on their customers' transactions under the EU directive known as DAC8. They report it to tax authorities, who share it across the EU. The first exchange of information, covering 2026, must happen by 30 September 2027. If you trade on an EU-licensed platform, assume your tax office will see it.
Scams and where to report them
- Report fraud to your national police first. Many countries have an online cybercrime reporting form.
- Tell your bank and the platform you sent money through straight away.
- Check your national regulator's warning list, and ESMA's register, before trusting any platform that says it is "EU regulated".
Unlicensed platforms sometimes claim to be "registered in the EU" because they once held a national registration. Since July 2026 that is not enough. Our scam guide covers the common tricks.
FAQ
Is crypto legal in the EU?
Yes. Buying, holding and selling crypto is legal across the EU. Companies offering crypto services must hold a MiCA licence.
My exchange isn't on the ESMA register. What should I do?
Check the exact legal entity first, since the brand may be licensed through a subsidiary. If it really isn't licensed, it should be winding down its EU services. Move your crypto to a licensed platform or your own wallet before any deadline it gives you.
Does MiCA protect me if a platform goes bust?
MiCA requires platforms to keep customer crypto separate from their own assets, which should help you get it back. It is not a guarantee, and deposit insurance does not cover crypto.
Will my tax office know about my crypto?
Increasingly, yes. Under DAC8, EU platforms collect and report transaction data from 2026, and tax authorities exchange it from 2027.
Sources: ESMA, Statement on the end of transitional periods under MiCA; European Commission, DAC8; MiCA Watch, MiCA-licensed exchanges (September 2026); CryptoTicker, German holding-period draft (October 2026).
This is not financial advice. Crypto is volatile and you can lose money. Do your own research.