I depend Council of the European Union At its last meeting, which included finance ministers of member states, regulations MiCA Crypto Asset Code.
Also read: EU Finance Ministers Agree Regulations of the Crypto Assets Act “MICA”
This set of rules will place cryptographic assets, their issuers and cryptographic service providers within a federation-wide regulatory framework.
The Council indicated that formal accreditation is the last step in the legislative process, and this comes after reaching an interim agreement in June 2022, which followed tripartite negotiations with the European Parliament and the Commission, and the vote of European Union lawmakers in April of this year.
For her part, the Swedish Finance Minister stated:
“I am very pleased that today we fulfill our promise to begin regulating the crypto-asset sector.”
“Recent events have underscored the urgent need to impose rules that will better protect Europeans who have invested in these assets, and prevent the cryptocurrency industry from being misused for money laundering and terrorist financing purposes.”
Notably, the new law is designed to regulate the stewardship, consumer protection, and environmental safeguards of digital assets, including cryptocurrencies such as Bitcoin. The new rules will also cover utility tokens and stablecoins.
The law also regulates trading platforms as well as digital wallets used to hold crypto assets, as the Council of the European Union has insisted that this regulatory framework aims to protect investors and maintain financial stability, while allowing innovation and enhancing the attractiveness of the crypto-asset sector.
Also read: Netherlands: Financial Markets Authority vows to crack down on crypto under MICA law
Finally, it can be said that the law Mica MiCA It is part of a larger digital finance package aimed at developing a common European approach, which also includes a digital finance strategy, a digital operating flexibility law for crypto service providers, as well as proposals for a pilot system for distributed ledger technology for wholesale uses.