New York and EU Regulators Forge Stablecoin Oversight Pact to Strengthen Cross-Border Information Sharing

Stablecoins are a key source of liquidity for cryptoasset trading, cross-border payments and decentralized finance. But issuance and holdings span multiple jurisdictions, creating potential risks from insufficient reserves, runs and contagion. The European Banking Authority (EBA), acting under its responsibilities pursuant to the Markets in Crypto-Assets Regulation (MiCA), has established a cooperation mechanism with the New York State Department of Financial Services (NYDFS), which regulates stablecoin issuers.

The EBA and NYDFS signed a memorandum of understanding on June 2, 2026. They will exchange information on the types of stablecoins issued by regulated firms, total circulation, holder numbers, internal and external audit findings, and products’ regulatory status, while coordinating during crises or emergencies. The global stablecoin market capitalization exceeded $319 billion as of June 3, and cross-border information sharing could help both regulators identify market trends and concentration risks.