EU’s ESMA Issues First Batch of Detailed Crypto Rules Under MiCA Law
The European Securities and Markets Authority (ESMA) issued a set of detailed proposals on how crypto companies within the European Union should be authorized, the first use of new powers given under the bloc’s Markets in Crypto Assets (MiCA) law.
The EU agency is also seeking confidential information about crypto companies’ expected revenue, number of white papers and the use of on- and off-chain trading in a consultation that lasts until Sept. 20.
MiCA, which takes effect in 2024, gives companies like wallet providers and exchanges the ability to operate across the bloc with one license and sets reserve requirements for stablecoins tied to the value of other assets.
ESMA says a further tranche of consultations will follow in October, covering sustainability and record-keeping, with a final batch due early 2024 that will consider when crypto counts as a security and how foreign companies will be able to serve EU clients.
Edited by Sheldon Reback.
