- Late June may bring new EU cryptography
- EU parliament seeks global lead in digital asset regulation
- U.S. bipartisan efforts to regulate cryptography introduced in June
Three agencies involved in the negotiation of European Union rules Bitcoin And other cryptocurrencies want to finish working on the crypto asset law market by the end of June as pressure to protect investors in the breaking market increases.
The EU’s awkward legislative body involves a “trilogue” between the European Commission, the European Parliament, and 27 member states. Bloomberg reports that the negotiators will meet in mid-June and meet again on June 30 to complete the package by the end of the six-month rotation in the French presidency.
NFT Law in Flux
In particular, do negotiators require crypto asset service providers to include non-fungible tokens (NFTs) in their legislation and disclose energy consumption because of the large computing power required for mining and transactions? Please solve it.
The EU began work on MiCA in 2020 to set common rules for block cryptography. As with privacy and high-tech issues, the EU wants to lead the world in regulating digital assets.
EU is trying to take control of regulation
Commissioner Mairead McGuinness of the European Commission called on all parties to reach a rule compromise and complete them last Friday. May Terra Stablecoin Crash, Celsius NetworkAnd concerns about Russia’s use of crypto assets to circumvent sanctions have made the rule more urgent, she said.
The Celsius Network has stated that the global sale of crypto assets will make it difficult to normalize operations and warns that it will take some time. Babel Finance, a cryptocurrency lender in Hong Kong, also stopped withdrawals and redemptions due to liquidity issues, and Hong Kong’s cryptocurrency exchange Hoo stopped trading as withdrawals ran out of funds.
Belena Ross, head of the European Securities and Markets Authority, said last month that the parties were “very impatient” waiting for an agreement to be reached, calling for the completion of the cryptocurrency rules.
Cryptocurrency companies scramble to hire compliance officers
Cryptocurrency companies are struggling to hire compliance personnel as regulators prepare new rules and find ways to apply existing rules to digital assets. Companies are beginning to realize that not only are the rules inevitable, but they can also help keep the industry on a set of guardrails.
at tHe is usa, The Securities and Exchange Commission has dropped the ball into cryptographic regulations, according to Hester Peirce, who says her failure to adopt the rules keeps her up late.
“We don’t allow innovation development and experimentation to take place in a sound way. That failure has long-term implications,” Perth told CNBC at the blockchain summit at the end of May.
In early June, Senator Cynthia Lummis and Senator Kirsten Gillibrand Bipartisan A bill to build a regulatory framework for the crypto market. The Responsible Financial Innovation Act assigns regulators to most digital asset spot markets for commodity futures trading. commission.
BitcoinThe best speculative cryptocurrency, has fallen below $ 20,000 for the first time since November 2020, leaving investors vulnerable, regulators not only protecting investors, but also maintaining financial stability, I am worried about preventing financial crimes.
Bitcoin Daily Price Chart: June 22, 2022
Source: IG
Fabio Panetta, a member of the European Central Bank’s executive committee, warned last month that the crypto market was larger than the $ 1.3 trillion subprime mortgage market that triggered the 2008 financial crisis.
Regulators have already put into force restrictions on preventing money laundering. The BitMex crypto platform was fined $ 100 million by US regulatory agencies last year for failing to perform an AML check.
The UK’s Financial Conduct Authority, one of the most sophisticated European regulators, is waiting for legislation to extend the oversight of crypto companies beyond money laundering. So far, only 33 companies have been found willing to approve.
