The Cyprus Securities and Exchange Commission (CySEC) on Friday issued a formal reminder to investors that all crypto-asset services must comply with the provisions of the Markets in Crypto-Assets Regulation (MiCA) as of July 1, 2026.

This development follows the conclusion of the mandatory transitional period under the European Union regulation 2023/1114.

To support this shift, the European Securities and Markets Authority (ESMA) has released a new public statement outlining the current regulatory landscape for digital assets.

ESMA reminded clients of unauthorised crypto-asset service providers, whether EU or non-EU entities, that they do not benefit from MiCA safeguards, including protections for client assets, the authority stated.

Clients who use services within the European Union are encouraged to verify whether their provider is authorised under the new framework by checking the official ESMA register.

Clients are invited to act promptly if their provider is not authorised, including by transferring their crypto-assets to an authorised provider, where one is identified, or to a self-hosted wallet, the authority stated.

Anyone experiencing technical or access difficulties during this transition should contact their service provider in the first instance.

European and national competent authorities are currently engaged directly with the relevant entities to ensure compliance, ESMA mentioned.

These bodies will coordinate to monitor whether significant unauthorised cross-border service providers wind down without delay, with a focus on client protection, financial stability and market integrity, the authority added.

Regulators will also work together with the European Banking Authority (EBA) and the Anti-Money Laundering Authority (AMLA) to ensure oversight.

“Within the ESMA cooperation framework, NCAs may, where necessary, take coordinated action against unauthorised CASPs after the transitional period,” the announcement concluded.