France's financial regulator, the AMF, just set a hard deadline of June 30 for companies to get licenses under Europe's new crypto rules, called MiCA. This means any bank or business that wants to handle digital money in France must be approved by that date or stop operating. The rule affects hundreds of crypto businesses across the continent.
MiCA stands for Markets in Crypto-Assets Regulation. It was created to protect people and prevent fraud, but banks say the rules are too strict and too expensive to follow. UniCredit, one of Europe's biggest banks, warned that these rules might actually push banks away from crypto entirely instead of making it safer. When banks leave, legitimate businesses lose partners they need.
Regular people and investors are directly affected. If banks stop offering crypto services, people will have fewer safe ways to buy, sell, or store digital money. Small businesses that handle crypto payments may also struggle to find European banks willing to work with them. Right now, crypto companies are racing to meet the June 30 deadline or they'll be forced to shut down their European operations.
What happens next depends on how many banks and crypto companies actually get approved by the deadline. If only a few get licenses, Europe's crypto market could shrink significantly. If regulators approve most applicants, the industry will stabilize. The European Banking Authority is watching to see if the rules are working as intended or causing more problems than they solve.