Presently, crypto assets are largely unregulated throughout the world, with the national operators in the EU only expected to demonstrate controls for tackling money laundering.
This has led representatives from the European Parliament and EU states to iron out a deal on the markets in crypto assets (MiCA) law. This will likely come into effect around the end of 2023.
“Today, we put order in the Wild West of crypto assets and set clear rules for a harmonised market,” commented lawmaker Stefan Berger. “The recent fall in the value of digital currencies shows us how highly risky and speculative they are and that it is fundamental to act.”
MiCA, as the first comprehensive system for crypto-assets in the world, will contain strong measures to prevent and fight market abuse and manipulation. Other major crypto centres, including the US and UK, are yet to give similar rules the green light.