MiCA and CASP Rules for VASPs After July 2026

End of the transitional period for entities entered in VASP registers. What about the provision of services after July 1, 2026?

Pursuant to Article 143(3) of the MiCA Regulation (Markets in Crypto-Assets), the transitional period for entities providing crypto-asset services included in national VASP registers definitively ends on July 1, 2026.  Alongside the date of MiCAR’s entry into application, this is one of the most crucial dates for the industry, as the existing registers allowing for the legal provision of crypto-asset services will be abolished and replaced by the requirement to hold a CASP authorisation.

It is worth recalling that until the application of the MiCA Regulation, Member States freely shaped the requirements for providing services in the crypto sector based on the general regulations of the AMLD V directive. Consequently, each Member State had separate regulations differing in the level of stringency and degree of supervision. Some Member States created complex requirements for entrepreneurs (e.g., France), while others (like Poland) created uncomplicated legal frameworks limited to a few declarations.

In other words, after July 1, 2026, the mosaic of national regulations will be replaced by a uniform requirement to hold a CASP authorisation.

Member States do not have the option to extend this deadline, which stems from the supremacy of EU law over national solutions. You must also remember that merely submitting an application for a CASP authorisation in any Member State does not guarantee the ability to operate under the existing rules until it is obtained.

What are the consequences of the end of the transitional period?

If you are actively operating on the market, acquiring new clients, or planning to implement new services, and you do not hold a CASP authorisation, then after July 1, 2026, you will have no legal possibility to continue providing crypto-asset services on your own account within the European Union.

What solutions do we propose?

The end of the transitional period does not have to mean the end of your company’s operations, even in the scope of crypto-assets. By analyzing your business model, we will indicate solutions leading to an optimal transition through this period with the support of external entities, to minimize all inconveniences resulting from the changes in legislation.

To secure the ability to provide services independently, parallel to operating on the market, you should apply for a CASP authorisation.

We wrote about the requirements accompanying this authorisation here. We offer comprehensive assistance in obtaining the authorisation, from preparing procedures to drafting ICT documents, and helping to hire key personnel.

On the other hand, if you no longer wish to operate on the Polish or other European market, we can prepare an orderly wind-down plan (in accordance with ESMA guidelines), thanks to which you will terminate your business activity in a controlled manner.

VASPs and the passporting of services

In one of its Q&As, ESMA clearly indicated that the mechanism of passporting services, i.e., providing services from one Member State to others based on an already held authorisation, does not apply to VASPs. This did not mean a ban on cross-border provision of services, but rather that the entity entered in the VASP register bears the obligation to check the legal environment in each Member State after the MiCAR enters into application.

What are ESMA’s recommendations regarding the phasing out of the transitional period?

It is worth emphasizing that ESMA, in its current position, stressed that applications for CASP authorisation submitted at the end of the transitional period should not be treated in a preferential (faster) way by national competent authorities; quite the contrary. Applications should be examined just as thoroughly as applications submitted by other entrepreneurs in 2025 (even those inactive on European markets). This means that competent authorities will not process them faster (through an informal, implied “fast track”) simply because the transitional period is expiring.

Furthermore, ESMA recommends that entities that have not obtained a CASP authorisation by the end of the transitional period should at least suspend their activities until the proceedings before the national competent authorities are concluded.

For this purpose, entities entered in the VASP register should have orderly wind-down plans ready by June 30, 2026. We can also help you prepare such a document in this regard.

What risks are associated with providing crypto services after July 1, 2026?

We previously indicated that the legal provision of services after July 1, 2026, is contingent upon holding a CASP authorisation. Therefore, actively acquiring clients or exchanging crypto after the end of the transitional period is treated as the illegal provision of services, i.e., without the required CASP authorisation.

Sanctions related to maintaining operational capability after July 1, 2026, can be divided into several groups:

• Criminal: The Polish draft act implementing MiCAR envisages a very severe penalty of up to PLN 20 million or up to 8 years of imprisonment for providing services without a CASP authorisation.
• Administrative: The MiCAR already outlines a catalogue of penalties for the illegal provision of services, indicating a fine of EUR 5 million. Furthermore, your website may be placed in a special register of banned domains, which can paralyze your market activity.
• Regulatory: It cannot be ruled out that if the regulator proves during the analysis of the CASP application that you provided services (even after analyzing your website or social media profile), they may refuse to grant the authorisation for this reason alone, despite you meeting the remaining obligations. Management board members, UBOs, and key personnel of such an entity may find themselves on the regulator’s blacklist in further licensing proceedings.

Thus, the risk is as serious as it is relatively easy to avoid. We will be happy to present all necessary recommendations to ensure full compliance with MiCAR.

Can you already apply for a CASP authorisation in Poland?

Unfortunately, not yet. Poland is one of the last European countries that has not implemented national solutions enabling the application of MiCAR. Nevertheless, recent media reports suggest that the act will likely be adopted at the beginning of the third quarter of 2026, which will open the licensing window.

Due to the lack of a designated competent authority in Poland, do I not have to fear sanctions for operating without a CASP authorisation?

Definitely not. After the Polish regulations enter into force, the Polish Financial Supervision Authority (KNF) will undoubtedly begin verifying the legality of entities active on the Polish market, which will entail the application of the sanctions listed above.

Will even minor activity after June 30, 2026, be treated as illegal?

Exactly. Even targeting an offer to a few clients or exchanging a few crypto-assets of insignificant volume for clients after July 1, 2026, without a CASP authorisation will be treated as non-compliant with MiCAR.