The start of 2025 marks a critical moment for the crypto industry as the United States is expected to make changes to its crypto policy under the second Trump administration, and the European Regulation on Markets in Crypto Assets (MiCA) becomes fully applicable. MiCA aims to address regulatory inconsistency and protect consumers. While much attention has been given to the impact on regulated entities such as stablecoin issuers and centralized service providers, less focus has been placed on the implications for other participants in the ecosystem such as technical vendors, infrastructure developers, DeFi platforms, and investors. MiCA's regulations can indirectly affect these players through a diffusion effect. For example, regulated entities are required to manage their relationships with third-party providers, which can affect software vendors specializing in blockchain and digital assets. These vendors must ensure their technology is compliant with MiCA's requirements to maintain business with regulated clients. MiCA also includes general rules and prohibitions applicable to all industry participants, including market abuse provisions that may have consequences for DeFi traders, validators, and even corporate entities. Non-regulated firms do not face the same level of regulatory burden as their regulated counterparts, but the industry as a whole will be affected by MiCA's broad framework. Technology builders and designers must align their solutions with the evolving regulatory standards to thrive in this landscape.



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