The European Parliament adopts crypto-focused MiCA legislation

After two consecutive delays, the European Parliament has yet conducted the last ballot connected the Markets successful Crypto-Assets Act, known arsenic MiCA. Now the legislation, introduced for the archetypal clip successful 2020, should assistance support from the European Council to beryllium published arsenic an effectual regulation. 

On April 20, instantly aft the voting, MiCA’s rapporteur and the Member of the European Parliament reported that the measure has been adopted:

Habemus MiCA! Das EU-Parlament chapeau dice #Regulierung angenommen. Ein Meilenstein für dice #Krypto-Asset-Industrie. Danke an alle Kollegen und auch für den ganzen Support der Community hier! #MiCA @btcecho @DECointelegraph pic.twitter.com/avPmOE2Vl0

With MiCA, European policymakers purpose to acceptable a modular regularisation to found harmonized rules for crypto assets astatine the EU level, thereby providing ineligible certainty for crypto assets. The regularisation volition found guidelines for the operation, operation and governance of issuers of integer plus tokens. It volition besides connection rules connected transparency and disclosure requirements for issuing and trading crypto. 

The regularisation is being perceived mostly with cautious optimism. There are, however, a fig of issues with the 400-paged document, assembled for the astir portion respective years ago. The existent draught mostly lacks immoderate notation of decentralized concern (DeFi), fails to code the increasing assemblage of crypto lending and staking, and doesn’t specify immoderate rules for nonfungible tokens (NFTs).

Related: The limitations of the EU’s caller cryptocurrency regulations

At the caller sheet during Paris Blockchain Week 2023, Janet Ho, caput of EU argumentation astatine Chainalysis, pointed retired that the occurrence of MiCA would beryllium babelike connected robust feedback and the reworking of definite parts of the documentation. He was joined by Nadia Filali, Caisse des Dépôts Group’s blockchain programme director, who stressed the value of governments, regulators and manufacture participants processing the regularisation together.

However, EU officials stress the information of the investors arsenic the large task of MiCA. As Joachim Schwerin, 1 of the main economists wrong the European Commission, told successful his interrogation with Cointelegraph, MiCA should minimize the antagonistic consequences of incidents similar the insolvencies of FTX and BlockFi successful the future.