Tag

PSD2

Payments Insights #6 – EU Legislative Drafting Status of PSD3 and PSR Banking & FinanceFinTech

Payments Insights #6 – EU Legislative Drafting Status of PSD3 and PSR

When the Second Payment Services Directive ('PSD2') replaced the First Payment Services Directive, the EU had solidified the regulatory architecture governing payment services across the single market; and this has served the ecosystem well for the past decade. On 18th May 2026, the Chair of the European Parliament's Committee on Economic and Monetary Affairs wrote to the EU Council Presidency to confirm that if the EU Council transmits its position on the Third Payment Services Directive (“Proposed PSD3”) and the Payment Services Regulation (“Proposed PSR”) in its current form, the Committee will recommend adoption at second reading without amendment. The…
Mario Mizzi
27th May 2026
Person using a credit card
Payments Insights #5 – When CASPs Overlap PSPs Banking & FinanceFinTech

Payments Insights #5 – When CASPs Overlap PSPs

The EU’s Markets in Crypto-Assets Regulation (MiCA) provides in Article 70(4) that a crypto-asset service provider (CASP) offering payment services related to its crypto activities must either obtain a payment institution authorisation itself or partner with an authorised payment service provider (PSP) under PSD2. This reflects the “dual nature” of certain crypto-assets: notably, MiCA classifies e-money tokens (i.e. stablecoins) as electronic money, meaning they are not only crypto-assets under MiCA but also “funds” under the Second Payment Services Directive (PSD2). In practice, this dual status raised uncertainty about whether CASPs dealing in stablecoins need a separate PSD2 licence in addition…
Katya Tua and Mario Mizzi
4th July 2025