This week Europe’s crypto regulatory framework stopped being a work in progress. The EU’s MiCA regime entered into force, and the UK wrapped up its own stablecoin rules, marking the end of a long transition period in which firms could still operate in grey zones between jurisdictions. That is no longer an option.
The institutional picture is harder to read. Robinhood is doubling down on Europe and the UK even as its own crypto revenue slides. Citigroup, on the other hand, slashed its price targets for Bitcoin and Ethereum, pointing to ETF outflows and a Washington still unable to pass meaningful digital asset legislation. Adding to the noise, President Trump’s financial filings showed just how deep his personal crypto interests run, at the exact moment Congress is trying to write the rules for the industry he profits from.
The EU’s Markets in Crypto-Assets regulation is now fully in force, bringing to a close a process that began with the framework’s adoption in 2023. There is no longer a grace period. Crypto firms serving EU clients must hold a valid MiCA licence in at least one member state; otherwise, they do not operate.
Britain is running a parallel but different track. The Financial Conduct Authority cut its proposed capital requirements for stablecoin issuers in half, from 2 per cent to 1 per cent, following industry pushback. It is a considerable adjustment, suggesting the FCA is watching how rules land before cementing them. That same regulatory direction carries into the next practical checkpoint for firms: the MFSA and MDIA workshop at AIBC World in Rome on 03 November. Between London and Brussels, the question is no longer whether digital assets get regulated, but how strictly.
According to Reuters, Robinhood plans to launch crypto trading in the UK and has expanded its European perpetual futures product to include commodities, ETFs, and foreign exchange, categories previously outside its offerings. The announcement came despite a 47 per cent year-on-year drop in the company’s crypto trading revenue in Q1.
The gap between falling revenue and expanding footprint is deliberate. Robinhood is betting that the time to claim market status is now, before the regulatory dust settles. Getting in now, while MiCA is still bedding down and UK rules are not yet final, may prove cheaper than entering once the compliance bar is fully set. This move also fits a broader pattern: US platforms are increasingly treating European markets as the next frontier, particularly as domestic US crypto legislation remains stuck.
Newly released financial statements show President Trump reported over $1.4 billion in income from cryptocurrency ventures in 2025, with the bulk coming from World Liberty Financial and the $TRUMP meme coin. Reuters had earlier reported that the Trump family’s combined crypto gains totaled more than $2.3 billion since the start of his second term.
The timing is awkward. Congress is currently working on legislation to create a proper regulatory framework for the US digital asset sector, and the president’s financial interests in that same sector have already slowed the bill. Democrats have cited ethics concerns as a reason to block progress. That same stall is now feeding into Citi’s view this week, which flagged the legislation as one of its key reasons for cutting crypto forecasts. The message is clear: what happens in Washington now moves markets.
According to crypto.news, Citigroup has lowered its 12-month price targets for both Bitcoin and Ethereum. Bitcoin’s target fell from $112,000 to $82,000; Ethereum dropped from $3,175 to $2,240. The bank also zeroed out its projected net ETF inflows for the next 12 months, down from a prior estimate of $10 billion.
This is Citi’s second downgrade of 2026. The main trigger is a reversal in ETF flows: US spot Bitcoin ETFs shed around $4 billion in June alone, their worst monthly outflow since launch. But the more telling number may be the assumption of ETF inflows going to zero. Citi is saying it no longer expects institutional demand through that channel to provide meaningful support. For an asset class that spent much of 2024 and 2025 riding the ETF narrative, that is a significant call.
Taken together, this week’s developments show a market at an inflection point. Europe now has functioning rules. Institutional products exist but are losing momentum. In the US, the political and regulatory picture is muddier than it was a year ago. The structural move to a regulated digital asset market is still underway, but the pace and the winners remain up for debate.
Watch this week’s AIBC News Round-up with Cyrielle Delmas for a concise breakdown of the key digital asset and emerging tech stories.
