More than 50,000 European citizens have submitted letters to the European Commission, urging a relaxation of restrictions on stablecoin rewards. The campaign, organized by the advocacy group Stand With Crypto EU, coincides with the conclusion of the European Union’s review of the Markets in Crypto-Assets (MiCA) framework.
The initiative seeks to permit regulated stablecoin providers to offer incentives such as cashback, loyalty programs, and reduced fees. Supporters argue that current MiCA rules, which prohibit interest payments on stablecoins, place these assets at a competitive disadvantage compared to traditional bank deposits and e-money products.
The campaign gathered over 126,000 signatures on a separate petition. According to Stand With Crypto EU, the response volume significantly exceeded previous regulatory consultations, including the 8,221 responses to the European Central Bank’s digital euro inquiry and the 198 responses during the 2020 crypto rules consultation.
Simultaneously, the European System of Central Banks (ESCB) has proposed stricter measures. In a submission dated September 22, the ESCB recommended extending the interest ban to include lending, borrowing, and staking. They also suggested replacing current reserve requirements with liquidity thresholds to mitigate potential financial stability risks.
