Cardano Foundation Pushes Back as EU Weighs New MiCA Rules

TLDR The Cardano Foundation opposes extending MiCA through separate rules for DeFi, staking and direct blockchain participation. Cardano’s staking model lets ADA holders delegate without locking tokens or surrendering custody. ESMA has proposed additional safeguards for staking, lending and firms providing access to DeFi protocols. The European Commission has not decided whether to expand MiCA following its consultation. The Cardano Foundation has urged the European Commission to keep decentralized finance (DeFi), staking and direct blockchain participation outside any expansion of the Markets in Crypto-Assets Regulation (MiCA). It wants rules based on financial activities and risks, rather than technology.