[co-authors: Andrea Manta, Giulia Marinai]
On 12 February 2026, the European Banking Authority (“EBA”) issued an Opinion advising national competent authorities (“NCAs”) on actions to take once the transition period set in the EBA No Action Letter of 2 June 2025 (“NAL”) – allowing crypto-asset service providers (“CASPs”) to temporarily provide some payment services – comes to an end (i.e. starting from 2 March 2026).
The interplay between Regulation (EU) 2023/1114 on markets in crypto-assets (“MiCAR”) and Directive (EU) 2015/2366 on payment services in the internal market (“PSD2”) arises from the dual nature of e-money tokens (“EMTs”), which qualify both as crypto-assets pursuant to MiCAR and as electronic money (thus, funds pursuant to PSD2). As a result, as also indicated under recital (90) of MiCAR, “some crypto-asset services […] might overlap with payment services” under PSD2, therefore requiring a dual authorization.
In this regard, the EBA issued on 2 June 2025 the NAL, which:
- on the one hand, clarified that only a subset of crypto-asset services provided with respect to EMTs may qualify as payment services, i.e. transfer of crypto-asset services, and custody and administration of EMTs, under certain circumstances;
- on the other hand, advised NCAs to require a dual authorization for CASPs providing or intending to provide the services mentioned under (a) above only after a transition period ending on 2 March 2026 and to apply a streamlined authorization process for those CASPs.
Since the end of the NAL transition period is approaching, the EBA, on 12 February 2026, published a new Opinion for NCAs, outlining three possible scenarios for a CASP wishing to continue to provide crypto-asset services that also qualify as a payment service under PSD2:
- PSD2 authorization already obtained or partnership with a PSP: CASPs that obtained authorization as a payment institution or electronic money institution, or that partner with a payment service provider (“PSP”) authorized to provide the respective services, may continue operating in line with their PSP authorization, or the authorization of the partner PSP;
- PSD2 application submitted: CASPs that have submitted an application to provide payment services but have not been authorized (yet) may continue carrying out EMT transactions that qualify as payment services temporarily, provided specific conditions are met (e.g. duly submission of the PSD2 application, absence of significant breaches under MiCAR, a positive NCA preliminary assessment).
While awaiting the outcome of their authorization process, such CASPs must cease marketing activities related to EMTs that qualify as a payment service and avoid providing any new clients such services;
- PSD2 application not submitted: CASPs that have not submitted a PSD2 application (or fail to meet the required conditions under point 2. above) must, as of 2 March 2026, cease providing EMT services that qualify as a payment service and offboard relevant clients.
[View source.]
