Malta’s financial regulator explores bringing parts of DeFi under MiCA’s orbit
The MFSA is seeking feedback on whether decentralization should be assessed as a spectrum rather than a binary concept.
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Summary
- Malta’s financial regulator is exploring how decentralized finance (DeFi) could fit within the European Union’s MiCA framework.
- The MFSA said many DeFi projects retain several centralized features in a discussion paper published Wednesday.
- EU’s framework for regulating crypto excludes services provided in a fully decentralized manner, but lacks a clear description of when a protocol or platform meets that threshold.

