MiCa, AMLA and EU’s ‘wild west’ problem: Law Decoded, June 27-July 4
2022.07.05 20:00
MiCa, AMLA and EU’s ‘wild west’ problem: Law Decoded, June 27-July 4
According to the European parliament member and rapporteur for the Markets in Crypto-Assets (MiCA) regulation Stefan Berger, the deal on landmark pan-European Union regulation had been finally struck amid the Tripartite negotiations. It “will put an end to the crypto wild west,” as French Minister for the Economy Bruno Le Maire hopes. Still, while raising a modest optimism among some stakeholders, MiCa’s final draft will surely make life harder for others.
A prime example here is the case with stablecoins, which would get a daily transaction cap of 200 million euros under the new regulation. With Tether (USDT) and USD Coin’s (USDC) 24-hour daily volumes standing at 48.13 billion euros and 5.40 billion euros, respectively, the new guidelines could be interpreted as a sort of indirect ban on stablecoins. The provisional agreement will also see crypto asset providers (CASPs) needing authorization in order to operate in the EU, with the largest CASPS to be monitored by the European Securities and Markets Authority (ESMA).
