On Sunday, Europe's stablecoin laws will come into force, marking a significant milestone in the regulation of crypto markets. The Markets in Crypto-Assets (MiCA) regulation aims to provide a clear framework for the industry, but experts warn of potential instability and market confusion as the ecosystem adapts to the new rules.

One of the significant concerns is the tight deadline for implementation, with the European Banking Authority (EBA) only issuing final guidance on June 13. This has left many in the industry scrambling to comply with the new regulations, with some calling it the "biggest pressure point." Despite this, the EBA claims to have finalized all technical standards before the June 30 deadline.

Another concern is the delisting of non-compliant stablecoins, which could lead to market disruption, reduced options, and liquidity issues. Several exchanges, including Bitstamp and OKX, have already announced plans to delist certain stablecoins. This has raised concerns about the impact on the market and the potential for instability.

The new regulations also require stablecoin issuers to obtain an e-money license, which could take years to obtain. This has raised concerns about the tax and accounting treatment of stablecoins, with some experts warning that many digital asset service providers may breach the law due to a lack of clarity.

Permissionless networks are another area of concern, as some crypto asset service providers may not be able to comply with the requirements of the Payment Service Directive (PSD2). This could lead to issues with safeguarding funds and custody of assets.

In conclusion, while the new stablecoin rules in Europe aim to provide clarity and regulation to the industry, there are several concerns that need to be addressed. The tight deadline, delistings, e-money license requirements, and potential issues with permissionless networks all pose significant challenges to the industry. As the regulations come into force, it remains to be seen how the market will adapt and evolve.