Cardano Foundation Opposes Broadening Mica to Defi and Staking

WHO:

Bitcoinist - The Cardano Foundation published an explanation of its response to a European consultation.

Cointelegraph - The Cardano Foundation urged the European Union not to expand MiCA rules to decentralized finance (DeFi) and staking.

Cointelegraph - The Foundation addressed crypto businesses across the EU as potentially affected by overlapping rules.

WHAT:

Bitcoinist - The Cardano Foundation argued against blanket rules that would treat every blockchain interaction as a regulated financial service.

Bitcoinist - The Foundation advocated regulating activities and intermediaries rather than decentralised technology itself.

Cointelegraph - The Foundation called for regulation based on financial risks rather than technology.

Cointelegraph - The Foundation warned that overlapping rules could create uncertainty for crypto businesses across the EU.

Cointelegraph - The article described the Foundation’s position as opposing the expansion of MiCA rules to DeFi and staking.

WHY:

Bitcoinist - The Foundation’s stated rationale was that policymaking should not treat every blockchain interaction as a regulated financial service.

Cointelegraph - The Foundation said regulation should reflect financial risks, and warned that overlapping requirements could create uncertainty for crypto businesses.

HOW:

Bitcoinist - The Foundation presented its position in an explanation of its European consultation response.

Cointelegraph - The Foundation proposed a risk-based approach focused on financial risks rather than the underlying technology.

(UPDATED October 22, 2026 16:22 UTC)

The Cardano Foundation is urging the European Union not to extend its MiCA crypto rules to decentralized finance, or DeFi, and staking. In an explanation of its response to a European consultation, the Foundation argued that rules should focus on financial activities and intermediaries, not decentralized technology itself. It cautioned against treating every interaction with a blockchain as a regulated financial service. Instead, the Foundation called for a risk-based approach that reflects the financial risks involved, rather than the technology being used. It also warned that overlapping requirements could leave crypto businesses across the EU uncertain about which rules apply. The Foundation said regulation should be clear and targeted, avoiding a broad expansion of MiCA that could capture DeFi and staking without accounting for their distinct activities.