The European Commission already has a plan to regulate cryptocurrencies

The Coindesk.com published a leaked European Commission document according to which regulation of the cryptocurrency market should be created within the European Union. The proposal to regulate the cryptocurrency asset market is already in the form of a document to be discussed by the Council and the European Parliament.

On almost 170 pages, the European Commission defines the framework for the legislation of the European cryptocurrency asset market (MiCA – Markets in Crypto-Assets). It defines what cryptocurrency assets mean or suggests how this market should be regulated in the future. However, the basic idea is to apply the same regulatory principles as those contained in the Markets in Financial Instruments Directive (MiFID).

Such an approach should ensure the establishment of a level playing field and legal transparency in the market for financial products, whether in their standard form or in the form of cryptocurrency assets. However, it is not clear whether the forthcoming regulatory framework will speed up or slow down the development of the cryptocurrency market, or even encourage it to move into illegal space. According to Coindesk.com, one of the obligations will be that traders or issuers of cryptocurrency assets wishing to do business in the European Union will have to have at least a registered branch in the territory of an EU country.

author avatar
EditorialTeam
The Trader-Magazine.com EditorialTeam is a collective of certified financial analysts, active traders, and cryptocurrency experts. Our mission is to transform complex market data (forex, equities, indices) into accessible financial education. All content undergoes rigorous, multi-level fact-checking to ensure we deliver only accurate, objective information for your trading and investment decisions.

Top 10 financial instruments for 2022. What will their prospects be in 2023?

The year 2022 has brought countless surprises and obstacles...

Telegram scams: how they work and how to protect yourself

Telegram has become one of the most widely used...

Trump Saved TikTok from a Ban. The App in the U.S. Moves into American Hands

TikTok narrowly avoided a ban in the United States...

Climate Change Poses Major Risks to Financial Markets, Regulator Warns

WASHINGTON — A top financial regulator is opening a...

Golden Brokers Review

Golden Brokers Limited was founded in 2018, it is...

Siemens’ Quarterly Profit Beats Estimates as the Company Benefits from AI-Related Demand

German industrial conglomerate Siemens increased its profit from industrial...

Sell Stop Orders: How They Work, When They Trigger and Where They Fail

A sell stop order allows investors to automatically sell an asset...

German Authority Investigates PayPal Over Possible Restriction of Competition

The online payment system PayPal may be engaging in...

Airbnb Could Earn More From the Same Booking

Airbnb plans to bring car rentals and partner services directly into its platform. With AI customer support reducing overheads, the company aims to earn higher profits from existing customer bookings.

Over-the-Counter Markets: How OTC Trading Works Outside Centralized Exchanges

Over-the-counter (OTC) trading allows investors, financial institutions, and companies...

Maersk’s profits grew, but a return via Suez may squeeze margins [1]

Maersk posted an operating profit of USD 3.3 billion...

Shooting Star Candlestick: How to Read It Without Trading the Shape Alone

A shooting star candlestick can warn that an upward...
spot_img