Giovanni Cunti, CEO of Gate Europe, said this week that some crypto firms holding licenses under the European Union's Markets in Crypto-Assets regulation may not be able to keep up with the costs of remaining compliant. The warning, delivered in a public statement, suggests that a portion of MiCA-licensed companies could ultimately exit the EU market entirely rather than absorb the ongoing financial strain.
The compliance cost squeeze
MiCA, which took full effect last year, imposes a thick layer of requirements on crypto firms that want to operate across the bloc. Licenses come with obligations around capital reserves, reporting, anti-money laundering controls, and consumer protection. For some companies, especially those with thinner margins, the price tag of meeting those obligations every quarter is starting to bite.
Cunti didn't name specific firms, but he was blunt about the trajectory. He said that some MiCA-licensed crypto firms may struggle to sustain compliance costs, and that the struggle could lead to exits. The statement is one of the clearest warnings from a regulated exchange CEO about the real-world friction of the EU's regime.
Who might leave
The firms most at risk are likely smaller players — startups and regional exchanges that aren't backed by deep pockets. For them, hiring compliance officers, running KYC checks, submitting audit reports, and maintaining liquidity buffers can eat up a major share of revenue. Gate Europe itself is a licensed exchange, so Cunti is speaking from within the system.
No one is predicting a mass exodus. But even a handful of departures would be a signal that the regulatory bar might be set higher than the market can bear. The EU designed MiCA to protect consumers and create a level playing field, not to thin the herd. But the herd is thinning anyway.
A test for MiCA's design
The question now is whether the EU will adjust. MiCA is still relatively new; the European Securities and Markets Authority is still working on secondary rules. If a few licensed firms pull out, regulators may face pressure to ease certain costs — or to accept that consolidation is the price of clean markets.
Cunti didn't offer a timeline. But the next concrete thing to watch is the application deadline for the next wave of MiCA compliance reports. Firms that fail to meet those requirements could face fines or license revocations. Some may choose to leave before that happens.
