60% of EU users could be affected ahead of MiCA’s July compliance deadline

Over half of E.U crypto users could be affected ahead of the MiCA (Market in Crypto Assets) transitional period deadline on 1 July. In fact, according to researcher Alex Obchakevich, about 60% of EU users who use unlicensed crypto platforms could be locked out. Source: Obchakevich Research (As of May, 2026) Only 194 crypto firms (6.5%) have been licensed as of May 2026. Consequently, over 2800 firms have no license, according to data aggregated from ESMA (European Securities and Markets Authority). That’s not all though. He also noted that these unlicensed platforms account for nearly half of app downloads. 60% of users still use unlicensed platforms, and 7.6 out of 18.5 million app downloads were for these platforms. Users are advised to urgently check the ESMA registry to avoid having their accounts blocked. The researcher warned that after the 1 July deadline, all unlicensed exchanges, brokers, and wallets will not be able to serve EU users. EU crypto framework – From a patchwork to unified rules In December 2024, MiCA began its application with an 18-month transition period that officially ends on 01 July. MiCA offers a single, unified licensing framework for exchanges, custodians, and lending platforms serving users in the EU. area. Before MiCA, the region had a patchwork of crypto regimes across each country. During the transition period, also known as the ‘grandfathering phase,’ member states could choose to allow already approved firms to continue operating under the local regimes as they apply for a MiCA license. Country-wise, Germany leads with 55 MiCA licenses, followed by the Netherlands at 29. France closes the top list with 19 licensed firms. Notably, stablecoin rules became live on 30 June 2024, and then full crypto asset service providers (CASP) followed later in December. However, with the grace period ending in two weeks, the 6.5% conversion rate to a full MiCA license revealed a low compliance rate. That said, since MiCA went live, tokenization has emerged as a new segment that was not addressed in the original framework. To address tokenization, stablecoins, and other policy issues raised against the initial framework, the European Commission has opened a review on 1 June. It will last until 31 August 2026. Commenting on the update, law firm Latham & Watkins LLP said, The scope of the Consultation reflects the Commission’s ambition to establish a coherent supervisory framework for activities that have so far remained unregulated or only partially addressed. According to the law firm, the review will lead to MiCA amendments. However, whether the review will improve the low rate of licensed crypto firms remains to be seen. Final Summary Germany had the highest MiCA-compliant and licensed crypto firms ahead of the 1 July deadline The MiCA framework is currently under review to address other segments, like tokenization, that were not fully covered.