Today, the national representatives of the European Council voted on the Market for Crypto Assets (MiCA) Regulation.
This document places the issuance of cryptocurrencies under institutional regulation and establishes a framework for crypto-asset service providers in EU member states for the first time.
Personal anti-money laundering laws require storage service providers to verify the identity of their customers. MiCA has rules that apply to dubious cryptocurrency issuers, stablecoin issuers, trading platforms and storage platforms.
Crypto Asset Service Providers
Crypto Asset Service Providers (CASP) must meet strict requirements to protect consumers. They can be held liable if they lose the investor’s money. Crypto trading platforms must disclose all necessary documents and penalties for using misleading information.
Consumers have warnings about the risk of losing cryptocurrencies, and companies have rules for marketing communications. For CASP to operate in the EU, an authorization is required. The largest cryptocurrency service providers are regulated by ESMA.
Cryptocurrency industry representatives have called for the removal of the €200 million per day limit rule for stablecoin transactions with non-euro collateral. In September, representatives from Germany, Italy and the Netherlands argued that this should not happen.
The next step in the official adoption of the law is October 10, and the Economic Commission of the European Parliament will also vote on the proposal. The text must then be translated into more than 20 official EU languages and the file entered in the EU Official Journal to formalize its implementation.