Fri, December 27

Crypto Legal Framework MiCA Gets Final Approval by EU Council

Crypto Legal Framework MiCA Gets Final Approval by EU Council Bitcoin News
  • The final approval paves the way for standardized regulation throughout the EU.
  • There were 27 yes votes from Finance Ministers from EU member states.

Members of the Council of the European Union voted in favor of the Markets in Crypto-Assets (MiCA) legislation on May 16. Granting it final approval and paving the way for it to become a standardized regulation throughout the EU.

There were 27 yes votes from Finance Ministers from EU member states. To approve the MiCA bill and amend other regulations and directives in accordance with the new legislation.

Unified Regulation Across the EU

The MiCA, which has already been ratified by the EU’s member states and the European Parliament, mandates that cryptocurrency businesses must apply for authorization from the EU. In order to provide services to customers who reside in the EU. They must also adhere to regulations meant to stop money laundering (AML) and the financing of extremist groups.

The EU parliament passed MiCA and two other pieces of legislation simultaneously. Including restrictions on information surrounding transfers of funds and certain crypto-assets.

Given the global nature of crypto assets. The Council’s official statement claims that the new crypto law will usher in a “harmonized regulatory framework” in the European Union. This is a shift over the current situation, which features national legislation in some member states but not others.

The EU Council remarked that the approval “fills a void in existing EU law” by ensuring that new digital financial instruments are covered by EU financial regulation and risk management protocols and that the legal framework does not impede their use.

On April 20, the European Parliament formally adopted the MiCA law, clearing the route for the Council to give its final assent.

An engineering graduate who is passionate about writing and loves the very existence of crypto. Trading forex currency keeps me busy when I am not writing and analysing the crypto world.

Floating Icon