Electronic money tokens (EMTs) occupy a distinctive position within the EU regulatory framework. They are crypto-assets under MiCA and are also deemed to be electronic money, creating a connection between crypto-asset regulation and payment-services rules. 

For crypto-asset service providers (CASPs), payment service providers (PSPs), token issuers and payment-focused fintechs, the regulatory treatment depends on the service being provided and how the EMT moves through the customer journey.

The forthcoming Payment Services Directive (PSD3) and Payment Services Regulation (PSR) are expected to provide greater clarity around this overlap. Understanding the direction of the framework can help companies prepare their products, permissions and operating models for the next phase of EU payment and crypto-asset regulation. 

EMTs under MiCA and payment-services regulation

The use of an EMT does not, on its own, determine which regulatory requirements apply. The analysis depends on the service being provided, the role of each party and how value moves through the customer journey.

Seemingly similar EMT products may therefore lead to different regulatory outcomes. Companies may need to look beyond labels such as custody, wallet, trading or settlement and examine the activities taking place within the product.

Relevant questions may include:

• Where are EMTs held, transferred or exchanged?
• Is the company acting in its own name or on behalf of a client?
• What is the purpose of the transaction?
• Which regulated entity is responsible for each part of the flow?
• Do the business’ existing permissions cover the services being provided?

These questions are important as businesses develop stablecoin-based payment, settlement and treasury products across Europe.

An evolving relationship between MiCA and payment regulation

MiCA established a harmonised EU framework for crypto-assets, issuers and CASPs. It also recognises that certain crypto-asset services may interact with payment-services regulation.

For additional background, our earlier analysis examines the MiCA–PSD2 interplay for EMTs following the EBA’s 2025 Opinion. Payment-services considerations can also arise in connection with other types of crypto-assets, which we explore in our article on the MiCA–PSD2 interplay for non-EMTs.

PSD3 and PSR are expected to clarify this relationship further. The latest agreed versions of PSD3 and PSR* provide additional detail on the treatment of different EMT activities and the authorisation framework where payment permissions may be required.

These developments could have meaningful implications for how companies structure EMT services. Their impact will depend on the specific product flow, the activities performed by the company and the role of any regulated partners involved.

*At the time of writing, PSD3 and PSR have not yet replaced the existing payment-services framework. Companies should therefore consider both their current position under PSD2 and how the expected future framework could affect their longer-term plans.

Preparing EMT products for the upcoming regulatory changes

Businesses working with EMTs should map their services at product-flow level and establish which entity performs each regulated activity.

This assessment can inform decisions around authorisation, partnerships, governance and operational responsibility. It may also help companies identify areas where their current structure needs to evolve as PSD3 and PSR progress towards implementation.

The appropriate approach will vary between business models. A CASP offering EMT functionality within a broader crypto-asset product could face different considerations from a PSP entering digital-asset services or a business using EMTs for payments and payouts.

Download our whitepaper to the MiCA, PSD2 and PSD3/PSR interplay

Our whitepaper, Navigating the MiCA, PSD2 and PSD3/PSR Interplay for EMT Services, explores how the evolving framework may affect CASPs, PSPs, issuers, trading platforms and payment-focused fintechs.

The whitepaper covers:

• How to assess individual EMT product flows
• Which activities may fall within or outside the future payment-services perimeter
• The authorisation and partnership routes available
• The requirements that may apply to in-scope EMT payments
• The implications for different business models
• How businesses can approach the transition from PSD2 to PSD3 and PSR

Download the free whitepaper here to understand what the evolving regulatory framework could mean for your EMT services.

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*This article is for informational purposes only and does not constitute legal advice. The PSD3 and PSR texts discussed in this paper have not yet completed formal adoption and may change before publication in the Official Journal. Regulatory interpretations may also vary between Member States. Businesses should obtain qualified legal advice before making licensing, product-design, or operating-model decisions. For a list of crypto specialised law firms visit: https://www.januar.com/legal-partners