Global law firm Reed Smith launched an automated compliance platform called Aquarius on July 14, aiming to help crypto companies comply with the EU’s Markets in Crypto-Assets (MiCA) regulations. Aquarius can automatically handle key compliance tasks such as crypto asset classification, regulatory whitepaper generation, due diligence, and ESG (environmental, social, and governance) information disclosures.
Aquarius Platform Core Features
According to Reed Smith’s official materials, Aquarius is designed to simplify MiCA compliance workflows for crypto firms by combining automated processes with legal expertise. Its main features are as follows:
Crypto Asset Classification: Automatically identifies asset types to meet MiCA classification requirements
Regulatory Whitepaper Generation: Automatically generates regulatory documents required under MiCA
Due Diligence: Helps complete legal due diligence procedures needed for compliance
ESG Information Disclosure: Automatically fulfills disclosure requirements related to environmental, social, and governance factors
Reed Smith plans to expand Aquarius to the UK, the UAE, Hong Kong, and Singapore to support local crypto regulatory frameworks.
MiCA Transition Period Ends July 1, Crypto Companies Can No Longer Rely on Temporary National Exemptions
According to reports, the EU’s MiCA transition period officially ended on July 1, 2026. Before that date, some member states that had fully implemented the transition period allowed crypto companies to continue operating using temporary national exemptions before obtaining formal MiCA authorization.
After the transition period ends, crypto asset service providers must conduct business across the EU’s 27 member states in line with formal authorization requirements under the MiCA framework, covering multiple areas including licensing, consumer protection, and operational requirements.
ESMA Initiates Regulatory Review, Taurus Continues to Face Ongoing Compliance Pressure After Obtaining a License
According to reports, ESMA launched last week a regulatory review of authorized crypto asset service providers, focusing on how custodians safeguard clients’ assets and manage operational risk. Sebastien Dessimoz, co-founder and managing partner of digital asset infrastructure provider Taurus, said: “Getting a MiCA license is only the beginning for custodians; they still face ongoing scrutiny regarding cybersecurity, governance, and their ability to protect clients’ assets.”
In addition, some reports indicate that EU policymakers are considering amendments to MiCA’s stablecoin framework, including rules for issuing non-euro-denominated stablecoins, partly driven by the US’s GENIUS Act.
Frequently Asked Questions
What MiCA compliance tasks can Reed Smith’s Aquarius platform complete?
According to Reed Smith’s official materials, Aquarius can automatically complete key compliance tasks such as crypto asset classification, regulatory whitepaper generation, due diligence, and ESG information disclosures; the plan is to expand in the future to the UK, the UAE, Hong Kong, and Singapore to support local regulatory frameworks.
What impact do crypto companies face after the MiCA transition period ends?
According to reports, the MiCA transition period ends on July 1, 2026. Crypto companies can no longer rely on temporary national exemptions and must follow formal authorization requirements under the MiCA framework; ESMA has also launched regulatory reviews of authorized service providers, focusing on client asset protection and operational risk management.
What are Reed Smith’s main business lines in the cryptocurrency space?
According to reports, Reed Smith runs a global digital asset business under its “On Chain” program. It has previously served as legal counsel for the $2.5 billion Bitcoin financing project involving Trump Media as a placement agent, and provided advisory services for the setup of a Bitcoin treasury company for the merger of Nakamoto Holdings and KindlyMD.
