Aave Labs Receives MiCA Authorization for Regulated Stablecoin Ramps in Europe

Aave Labs has achieved a significant milestone by becoming one of the first major decentralized finance projects to obtain authorization under the European Union’s Markets in Crypto-Assets (MiCA) framework. This approval enables the company to operate regulated stablecoin on- and off-ramps throughout the European Economic Area.

Key Takeaways:

Aave Labs has secured MiCA authorization, allowing Push to facilitate euro-to-crypto stablecoin transactions across the EU.
This approval enhances Ireland's status as a key hub for compliant on-chain finance.
Aave aims to provide a regulated alternative to centralized exchanges and develop stablecoin infrastructure throughout Europe.

With this authorization, Push, Aave Labs’ fiat-to-crypto service, can now provide euro conversions into digital assets, including the protocol’s own over-collateralized stablecoin, GHO. The Central Bank of Ireland granted this authorization to Push Virtual Assets Ireland Limited, a wholly owned subsidiary that oversees Aave’s operations in Europe.

Aave Labs Secures MiCA Authorization to Offer Regulated Stablecoin Ramps Across Europe

Ireland's Growing Role in Regulated On-Chain Finance

This development solidifies Ireland's emerging position as a regulatory center for compliant on-chain finance. Notably, this approval comes shortly after Kraken also received MiCA approval in Ireland on June 25.

The timing aligns with a period of rapid growth in the global stablecoin market, which saw its total supply exceed $300 billion in 2025. At the time of writing, CoinGecko recorded the sector at $312 billion. This increasing demand for reliable, fiat-linked crypto assets has heightened interest from both institutional and retail investors in regulated conversion pathways.

With MiCA authorization now secured, Push will provide regulated euro on- and off-ramps for GHO and other stablecoins integrated within Aave’s product ecosystem. Aave Labs has announced that this service will initially launch without any conversion fees, making it competitive with fintech companies and centralized exchanges that usually impose significant fees.

However, the company has yet to specify whether this zero-fee structure is temporary or intended as a long-term feature.

Aave Labs views a compliant payments infrastructure as crucial for attracting mainstream users to decentralized finance. By offering a reliable and regulated pathway between euros and crypto assets, Push aims to lessen reliance on centralized exchanges, which are often regarded as a major barrier to onboarding users into DeFi.

This approval marks a first for a decentralized finance-native organization to operate a licensed fiat bridge under Europe’s most comprehensive crypto regulatory framework.

Aave’s ecosystem is actively generating impressive volume. According to DefiLlama, the protocol processed $542 million in transactions in the past 24 hours, with users holding over $22.8 billion in borrowed assets across its lending pools.

With the MiCA authorization in place, Aave Labs is well-positioned to expand its stablecoin infrastructure throughout Europe, enhancing its role in regulated on-chain finance.

ESMA Identifies Issues in Malta’s Crypto Licensing Process

In July, the European Securities and Markets Authority (ESMA) raised concerns regarding the crypto licensing process in Malta after reviewing the Malta Financial Services Authority (MFSA).

While the MFSA was acknowledged for having sufficient staffing and expertise in the sector, the review indicated that Malta only “partially met expectations” in its authorization of crypto asset service providers (CASPs), leaving several significant issues unaddressed.

This review, initiated in April 2025 by ESMA’s Peer Review Committee, examined the MFSA’s supervisory structure, authorization processes, and oversight mechanisms.

ESMA underscored the importance of consistency among EU member states under the MiCA regulatory framework, which aims to standardize how crypto firms are licensed and monitored across the European Union.