Vault legal positioning becomes a challenge; EU Commission seeks feedback on including DeFi lending in MiCA regulation

Odaily News The European Commission is evaluating whether to bring DeFi lending and crypto borrowing activities under MiCA regulation, and has launched a targeted consultation on uncovered areas, which will close on September 30. One of the current points of contention is the legal positioning of DeFi lending Vaults. Taking Morpho Vault V2 as an example, its management and risk control authority is distributed across multiple roles, making it difficult to determine who should be considered a regulated service provider. MiCA currently excludes in principle crypto services provided in a "fully decentralized" manner. How the EU subsequently defines actual control and the regulatory entity will be key.