European cryptocurrency trends in 2026: stablecoins and MiCA

2025 will be remembered as a landmark year for cryptocurrencies thanks to legislative clarity in the US and an endorsement of the industry from President Donald Trump. With the Genius Act passed and a new, crypto-friendly set of SEC executives who have ended the Commission’s ‘regulation by enforcement’, the US Administration is keen to create a much more welcoming environment for cryptocurrencies.

While this incredible hype is causing a buzz in the US, an understated but no less significant shift is happening in the European Union. Sources identified key market trends towards European crypto market maturity in their conversations with the Chambers FinTech team.

First, the shape of crypto-asset trading on the continent is still being distinctively shaped by last year’s introduction of the Markets in Crypto-Assets Regulation, usually referred to, less cumbersomely, as MiCA or MiCAR. These new Regulations seek to legitimise the adoption of blockchain technology while protecting investors and users.

While some sources said they found the new regulations cumbersome and dealing with the regulators “more and more complicated,” others said they added much-needed legitimacy to a market once seen as a financial pariah.

A source told us that, with the advent of MiCA, “we've seen traditional finance players getting into the market.”  This long-needed regulatory security and legitimacy has prompted traditional financial institutions, who were once among crypto’s biggest critics, to enter the market with European banks like ING and UniCredit launching stablecoins.

One source noted that “we anticipate growth in stablecoins with the current MiCA-related maturity in the sector.”  Stablecoins are cryptocurrencies designed hold a stable value, pegged to fiat currencies or commodities with relatively consistent values. The faster and less expensive transactions that stablecoins enable have proved attractive to traditional finance. “We are seeing a lot of issuance of stablecoin mandates,” said another interviewee, highlighting the growing institutional interest in stablecoins.

Perhaps most tellingly, a third source said: “I see stablecoin payments trending – I think this is the future… In my space, most trending is stablecoin payments operations, not using traditional currency.” This interviewee suggests that traditional payments operations will begin to use stablecoins for international transactions. SWIFT has just announced plans to build its own blockchain infrastructure for quick and inexpensive international transactions.

Commentators told us that, with increasing regulatory clarity for crypto-assets in the European Union, they are beginning to see international opportunities take shape.

One source reported that “we have been working hard to open the market to Latin America, because we think the EU standards would be applicable in most countries.” Brazil leads the way in the region in digital payments and regulatory precedents. Sources expect other Latin American nations to follow close behind, potentially aligning with EU standards and opening the door to greater cross-border collaboration and investment.

Increasing crypto regulation may be perceived as cumbersome by a sector that thrives on innovation and a lack of restriction. But regulatory clarity appears to be adding transparency and legitimacy to a sector that has long been decried for its instability and poor credibility. We may well be witnessing the, at least partial, renewal of crypto’s long besmirched image thanks to European regulation.