Just like every other indusattempt, the crypto indusattempt has regulatory frameworks that govern its operations across different countries or regions. While the European Union’s Markets in Crypto-Assets (MiCA) regulation is fully operational, the United States is still attempting to sign into law the Digital Asset Market CLARITY Act of 2025 (H.R. 3633).
Both regulatory bodies are responsible for maintaining order in digital asset markets. However, they apply different approaches to execute their functions, and where you choose to launch your startup may depfinish on which one you prefer.
This article compares how each regulation dictates the acceptable operational guidelines for Web3 founders to follow in their startups.
Key Takeaways
- The EU’s MiCA is fully in force with defined rules and penalties, whereas the US CLARITY Act remains under Senate review, leaving founders in regulatory uncertainty.
- MiCA centralizes crypto oversight through national regulators with passporting across 27 countries, while the CLARITY Act splits oversight between the SEC and CFTC based on token classification.
- Founders tarobtaining Europe should initiate MiCA compliance immediately, while US-focapplyd startups should monitor the CLARITY Act’s progress.
Understanding the EU Regulation
MiCA regulation came into effect in June 2023 and fully applied as of December 30, 2024. It is the governing law for all crypto-asset service providers (CASPs), token issuers, and stablecoin issuers in all 27 member states of the EU.
The new legislation classifies crypto assets into E-money tokens (EMTs), asset-referenced tokens (ARTs), and all other crypto assets. Each group has its own set of rules, and the penalties for non-compliance are clearly stated. Administrative fines for companies can reach €5 million or up to 12.5% of annual turnover, depfinishing on the violation. For individual executives, fines can reach €700,000 per incident, and regulators can halt their operation in the indusattempt altoobtainher.
For an entrepreneur intfinishing to conduct a Web3 business in the EU, the compliance process under MiCA is as follows:
- Categorize your token into either EMT, ART, or a general crypto asset.
- Register your company as a legal entity in an EU member state with at least one director who is a resident of the EU.
- Apply for CASP authorization from the national competent authority (NCA).
- Using the iXBRL format, prepare a compliant white paper.
- Put in place AML/KYC measures, data protection safeguards, and client risk statements.
- Comply with capital requirements
The “passporting” rights to conduct business in all 27 member states, once authorization is complete favours Web3 startups. A single license in, state, Lithuania or Malta opens access to 450 million potential applyrs across the EU, without duplicating national applications.
The US CLARITY Act
The US has been operating in a state of “regulation by enforcement” for years. The CLARITY Act is Congress’s attempt to provide a clear distinction of the jurisdiction of both the Securities and Exalter Commission (SEC) and the Commodity Futures Trading Commission (CFTC) over digital assets.
It was introduced on May 29, 2025, and passed the Hoapply of Representatives on July 17, 2025, and was referred to the Senate. As of February 2026, the Senate committees are working to reconcile differences between competing versions, which is expected to continue through mid-2026.
The bill categorizes digital assets into three: digital commodities, investment contract assets, and stablecoins. The CFTC obtains primary jurisdiction over digital commodity spot markets, whereas the SEC oversees investment contract assets. This implies that:
- A token whose value is “intrinsically linked” to the apply of a blockchain is considered a digital commodity.
- When a blockchain network matures (having less than 20% insider control), its native tokens may shift from SEC to CFTC oversight for secondary trading.
- Digital commodity exalters, brokers, and dealers are required to register with the CFTC under an expedited process.
- Stablecoins are treated separately under the GENIUS Act, establishing reserve audit requirements and issuance rules.
The CLARITY Act is not yet a law. Until the Senate passes a final version of the bill and it is reconciled with the Hoapply bill, developers and founders in the US are operating in the same legal amhugeuity that they have been for years. Some analysts have pointed to the 2026 midterm pressures as a factor that could slow or stall the bill altoobtainher.
How MiCA and the CLARITY Act Differ
| Factor | MiCA (EU) | CLARITY Act (US) |
| Status | Operational since Dec 2024 | Hoapply-passed; Senate pfinishing |
| Primary regulator | NCA | CFTC, SEC |
| Token categories | EMTs, ARTs, and general crypto assets | Digital commodities, investment contracts, and stablecoins |
| Passporting | Yes, across all 27 EU states | Not applicable (federal framework) |
| DeFi and NFTs | Not yet covered | Limited coverage |
| Capital requirement | €50,000 to €150,000 for CASPs | To be determined upon approval by the Senate |
| Enforcement | Active, €540M+ in fines to date | Rule-by-enforcement era ongoing |
What Should Web3 Founders Do Now?
For global founders tarobtaining European applyrs, MiCA compliance is not optional. The transitional safeguards will expire on July 1, 2026, and NCAs are already in play. The takeaway is to initiate the authorization process as soon as possible, classify your tokens carefully, and budobtain for compliance.
However, if you are tarobtaining the US market, then you should closely monitor the Senate process on the CLARITY Act, engage legal counsel familiar with SEC and CFTC guidance, and document token classification decisions.
Bottom Line
MiCA is a more comprehensive regulatory framework as it provides, in clear terms, what is expected of Web3 founders to successfully establish a startup within the EU countries. The US equivalent, the CLARITY Act, is ambitious in its tarobtain and bipartisan in its backing, but not yet complete as legislation. For Web3 startups, the goal is to operate in a suitable environment that allows growth and exposes your business to minimal undue legal risk.
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