Ripple has taken another step forward in European regulation. The Luxembourg financial regulator CSSF has preliminarily approved its Electronic Money Institution (EMI) license application. Once remaining conditions are met, this license can be officially granted.

What does this mean? It means Ripple has obtained an official status in Europe. With this license, it can use Luxembourg as a base and leverage the EU passport mechanism to provide payment services across the entire European region—including various digital asset-related financial services such as stablecoins. The EU passport mechanism is actually a powerful tool; a license obtained in one place is equivalent to holding a pass across the whole of Europe.

Additionally, Ripple is continuing to push forward with its application for the EU’s MiCA (Markets in Crypto-Assets Regulation). MiCA is Europe’s most comprehensive regulatory framework for crypto assets, and obtaining this certification is akin to holding the highest-level license in Europe. The steady progress of these steps appears very robust. For the stablecoin industry, this is also a good signal—regulation is no longer entirely uncertain but is beginning to have a clear path.