The rule.
“the crypto-asset may lose its value in part or in full”
Verbatim extract, read on 4 November 2026 from the source below. Everything else on this page is NorthPoint’s plain-English reading.
What it requires.
- Clear and unambiguous statements that the crypto-asset may lose its value in part or in full, may not always be transferable, may not be liquid, and — for a utility token — may not be exchangeable against the promised goods or services, especially if the project fails.
- Also that the crypto-asset is not covered by investor-compensation or deposit-guarantee schemes. A campaign that contradicts any of these statements is inconsistent with the white paper.
Who it applies to.
Crypto-asset white papers for crypto-assets other than asset-referenced tokens or e-money tokens.
Common violations in marketing copy.
Cash out any time, guaranteed.
Contradicts the white paper's statement that the asset may not be liquid or transferable.
Your tokens are safe with us — fully protected.
Contradicts the statement that no compensation or guarantee scheme applies.
Non-compliant vs compliant.
“Fully protected. Always liquid. Never worth less than you paid.”
“[Token] may lose its value in part or in full, may not always be transferable or liquid, and is not covered by any investor-compensation or deposit-guarantee scheme.”
Related rules.
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Article 6(4) · European Union
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Article 66(3) · European Union
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Article 7(1)(e) · European Union
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EU and UK side by side.
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Markets in Crypto-Assets Regulation (EU) 2023/1114.
Source.
| Instrument | Regulation (EU) 2023/1114 on markets in crypto-assets (MiCA) |
|---|---|
| Provision | Article 6(5) |
| Primary source | https://www.esma.europa.eu/publications-and-data/interactive-single-rulebook/mica/article-6-content-and-form-crypto-asset |
| Official text | https://eur-lex.europa.eu/eli/reg/2023/1114/oj/eng |
| Read from | ESMA Interactive Single Rulebook, one page per article (ESMA's own publication of the MiCA text) |
| Checked |
This page is general, sourced information for marketing teams, not legal advice. The examples are written by NorthPoint to illustrate the rule; for a binding view on your own promotion, retain qualified counsel in the jurisdiction concerned.