The European Union's Markets in Crypto-Assets (MiCA) regulation is criticized for imposing significant compliance costs that hinder innovation among smaller crypto startups, according to Ledger's CTO Charles Guillemet. The regulation requires steep capital and legal expenditures, with costs ranging from €50,000 ($58,000) for advisory services to €150,000 ($174,000) for operating a trading platform, alongside millions for ongoing compliance. Guillemet highlights that these financial barriers favor larger financial institutions, effectively creating a market moat that excludes smaller players. While regulators defend MiCA as necessary for consumer protection and trust-building, the reality is that traditional banks are increasingly moving into the blockchain space, seeking enterprise-grade solutions from firms like Ledger. This shift is evident as banks transition from experimental projects to comprehensive blockchain adoption, driven by demand for security and asset tokenization. Despite Ledger's substantial investment in security, including a dedicated engineering team, the firm faces ongoing operational risks, evidenced by past security breaches. The landscape is changing as smaller startups struggle with compliance costs while larger institutions leverage native crypto technology.