EU Regulations to Enhance Security of Crypto Investments
The European Union's Markets in Crypto-Assets (MiCA) regulation is the first major global attempt to standardize and secure the cryptocurrency sector. The new rules aim to bring order to the market and help Europe catch up with the United States. However, critics warn that instead of protecting investors, these regulations may stifle crypto development in Europe.
"While MiCA is intended to regulate and protect citizens, I believe any interference in the inherently independent crypto market distorts it. This regulation is unnecessary," Marcin Sypniewski, a Member of the European Parliament from Konfederacja, said.
MiCA is designed to safeguard investors while fostering innovation in digital assets. It covers unregulated crypto-assets, including utility tokens and stablecoins. The rules introduce strict licensing and authorization requirements for crypto service providers, such as exchanges and derivative platforms, along with measures to prevent market abuse.
(Newseria)
