[Stricter Crypto Regulations in Europe May Trigger a Wave of Mergers and Acquisitions: SMEs Seek Integration with Banks and Traditional Financial Institutions] Reported by Jinse Finance, on July 26, as the European Union's *Markets in Crypto-Assets Regulation* (MiCA) gradually takes effect and the UK's crypto regulatory framework nears completion, the European crypto industry is entering a new phase of consolidation. Industry insiders believe that high regulatory standards may drive a new wave of mergers and acquisitions, further deepening collaboration between crypto-native companies and traditional financial institutions. The competition for MiCA licenses is coming to an end, but the real challenges for companies are just beginning. The high costs of maintaining compliant operational systems could reshape the landscape of the European crypto industry. In the future, the focus of industry competition may shift from "who can obtain a license" to "who can bear the cost of compliance," driving companies to achieve scale through mergers, joint ventures, or partnerships with banks. Industry experts widely agree that the European crypto industry is entering a "regulation-driven consolidation cycle." For crypto startups that have previously relied on rapid innovation and asset-light models, their future core competitiveness may no longer be just technological speed but also compliance capabilities, capital scale, and the ability to integrate with financial infrastructure.