50,000 EU Users Urge MiCA Reform to Enable Regulated Stablecoin Rewards

More than 50,000 European cryptocurrency users have formally submitted feedback to the European Union, requesting a policy shift regarding the utility of stablecoins. According to information provided by Stand With Crypto EU, the collective response was delivered as part of the Markets in Crypto-Assets (MiCA) regulation review consultation, which officially concluded on September 30, 2026. The participants are advocating for the ability of regulated stablecoin issuers to offer specific financial incentives, such as cashback and loyalty rewards, which are currently restricted under existing frameworks.

The Push for Greater Stablecoin Utility

The core of the submission focuses on expanding the functional benefits of asset-referenced tokens (ARTs) and e-money tokens (EMTs). Under the current MiCA guidelines, there are significant limitations on the types of incentives that can be offered to holders of these digital assets. The 50,000 respondents are calling for the EU to establish clear rules that would permit:

• Cashback programs for retail transactions.
• Loyalty rewards for long-term token holders.
• Fee reductions for users interacting with decentralized applications (dApps).
• Standardized disclosure requirements for reward structures.

The consultation period served as a vital window for stakeholders to voice concerns regarding how the MiCA framework impacts the competitiveness of the European digital asset market compared to other jurisdictions.

Stand With Crypto EU’s Advocacy Role

In a statement to Cryptoprowl, representatives from Stand With Crypto EU highlighted that the massive volume of responses reflects a growing desire for a more flexible regulatory environment. The organization emphasizes that allowing these rewards would not necessarily increase systemic risk if conducted under stringent regulatory oversight.

"The feedback submitted by over 50,000 users underscores a demand for a balanced regulatory approach that protects consumers while allowing for the innovation seen in traditional finance, such as credit card reward programs,"

The initiative argues that by enabling fee reductions and incentives, the EU could foster higher adoption rates for regulated stablecoins, potentially steering users away from unregulated or offshore alternatives that do not comply with European AML and KYC standards.

Next Steps for MiCA Implementation

Following the closure of the consultation on September 30th, European regulators will now analyze the feedback to determine if adjustments to the legislative text or the technical standards are necessary. The outcome could significantly influence how stablecoin issuers operate within the Eurozone, particularly regarding their ability to compete with traditional payment processors.

As the European Securities and Markets Authority (ESMA) and the European Banking Authority (EBA) continue to refine the secondary legislation of MiCA, the crypto industry remains watchful. The collective action of these 50,000 users represents one of the largest organized efforts to influence European digital asset policy to date, signaling a shift toward more active retail participation in the legislative process.