meta_id 3331547

On July 16, 2026, the European Banking Authority (EBA) held a public hearing to present its proposed methodology for setting fines under the Markets in Crypto Assets Regulation (MiCA). The consultation paper outlines a structured approach to determining administrative penalties for issuers of significant asset-referenced tokens and e-money tokens that breach MiCA requirements. The EBA's methodology comprises two primary steps. Step 1 establishes a basic fine amount based on infringement severity, categorising breaches as high, medium, or low. High-severity infringements—including conflicts of interest, organisational failures, and operational breaches—attract a basic fine of 5 percent of annual turnover. Medium-severity infringements relating to disclosure and transparency provisions incur 3 percent of annual turnover, while low-severity obstacles to supervisory activities incur 2 percent. Step 2 adjusts the basic amount using aggravating and mitigating factors. Aggravating factors include infringements lasting more than six months (coefficient 1.5), repeated breaches (1.1 per repetition), financial crime facilitation (2.0), and intentional violations (2.0). Mitigating factors include senior management demonstrating reasonable preventive measures (0.7), rapid disclosure to the EBA (0.4), and voluntary remedial action (0.6). The methodology caps fines at 12.5 percent of annual turnover or twice profits gained or losses avoided for asset-referenced token issuers, and 10 percent of annual turnover or twice profits gained or losses avoided for e-money token issuers. The EBA Board of Supervisors retains discretion to adjust final amounts where disproportionality concerns arise, considering deterrent effects and supervisory objectives. The consultation period runs until September 30, 2026. Stakeholders may submit written comments addressing six consultation questions covering infringement classification, percentage levels, aggravating and mitigating factors, coefficients, flexibility mechanisms, and maximum amount application. The EBA intends to finalise the methodology in Q4 2026.