EURC sets record after MiCA, but money is still flowing elsewhere

After MiCA came into effect, EURC set a record, but funds still flowed elsewhere.

Sanitation data showed that this week, the euro stablecoin EURC generated 1760 active addresses and 713 new wallets in a single day, both reaching record highs. The increase comes almost immediately after July 1-the day MiCA licenses became mandatory in all 27 member states of the European Union to serve European customers.

EURC\'s daily active addresses and network growth both hit all-time highs.

The number of new wallets is more meaningful data. Active addresses can surge as existing holders move funds, and record wallet creation means new users are pouring in. With unlicensed platforms locked out of the European market, payment teams and applications require compliant assets, and euro tokens issued by Circle\'s French-regulated entity are one of the few ready-made options.

Long-term trends point in the same direction. According to Coinglass data, EURC\'s market value has grown from less than $100 million a year ago to approximately $430 million, almost in sync with MiCA\'s phased implementation. For stablecoins, this is itself a demand map-because the price is anchored at 1 euro, adoption is reflected in supply rather than price fluctuations.

A compliant euro channel is attracting traffic. Then on July 9, a number pushed the record magnitude to a new height.

70% of funds flow to self-managed wallets

Binance did not obtain MiCA licenses in time, suspended EU services, forcing millions of users to decide where their funds would go. CEO Richard Teng announced the results: About 70% of the withdrawn funds were transferred to self-managed wallets, and only 30% went to compliance platforms. Faced with a forced choice between regulated platforms and self-sustaining keys, most affected users chose keys, moving assets completely outside Binance and MiCA regulation. Teng himself indirectly admitted this, arguing that the transfer raised questions about whether the law truly achieved consumer protection goals because self-managed wallets fell completely outside the scope of regulation the framework was trying to implement. The net flow of the EURC exchange also confirmed this trend, with weekly net outflows continuing during the transition period, with net outflows reaching US$1.43 million in the week ending July 6.

When these two things are put together, the gap is clear at a glance. EURC\'s record-setting day involved fewer than 2,000 addresses; Binance\'s European user base reaches millions. Historical highs and insignificance coexist on a market capitalisation base of $430 million, and since the trusteeship exit has absorbed most of the EU liquidity from the major exchange in a matter of days. Investors are trying compliance channels, but as of now, the vast majority of funds have chosen not to enter them.

Two weeks is not enough to make a conclusion

It is too early to draw conclusions, and the reasons are reasonable. Self-hosting may be just a waiting area rather than a terminal-users store assets in hardware wallets at no cost, while observing which licensed platforms are worth trusting. Teng also pointed out that multiple EU jurisdictions have invited Binance to apply for local licenses. If the exchange returns to the market after receiving a license, most of the 70% of the money could flow back into regulation, and the July snapshot is just a friction in the transition period. In addition, the construction of the Eurochannel does not rely on Binance\'s refugees: EURC\'s growth is driven by a platform that integrates compliance tools, which is exactly the slow and solid success model expected by MiCA\'s drafters.

But the tests are clear and measurable. If the supply of EURC increases while the share of self-custody declines, it means that European investors are accepting this framework. If a record is set on a small base and 70% of those forced to transfer funds choose to own their own keys, acceptance is limited and the compliance channel bears the burden of proof. A rule designed to bring users into regulation has sent most of the affected money out of regulation in the first two weeks of its entry into force. This is exactly the number MiCA will face judging.