The European Commission, one of the EU’s legislative bodies, has approved the proposed European regulatory framework for the crypto space. It is now up to European lawmakers to approve the crypto asset market package ahead of eventual adoption.
Comprehensive cryptocurrency regulation closer to adoption in EU
The Council of Permanent Representatives (COREPER) has approved the final version of the crypto asset market (Mika) legislation, according to Documentation Published by the Council of the European Union following its meeting on 5 October. The committee is made up of the heads of missions of EU member states in Brussels.
COREPER prepares the agenda for the Council’s ministerial meetings and is empowered to make some procedural decisions. The European Parliament has been informed of the approval in a correspondence with the Economic and Monetary Affairs Committee (ECON), which is expected to meet and vote next week.
COREPER President Edita Hrda confirmed in a letter that “if the EU takes its position on first reading…the Council will approve the position of the European Parliament in accordance with Article 294(4) of the Treaty, the Act shall be worded in line with the position of the European Parliament. Corresponding.”
After three main bodies in the EU’s complex legislative process – the Parliament, the Council and the Commission – the Commission approved the draft MiCA scheme. reach a consensus Earlier this year, the text of a comprehensive proposal to regulate the EU’s cryptoeconomy.they also agree A set of anti-money laundering rules for transactions involving crypto assets.
The MiCA should enter into force upon completion of the ratification process and publication in the Official Journal of the European Union, and is expected to enter into force by the end of 2022. However, many of its regulations will come into effect in late 2023 or mid-2024.
The legislation aims to regulate the activities of crypto asset issuers and related service providers, while protecting customers and investors across the EU.Previous attempts to amend it in parliament, including controversial proposal The ban on servicing cryptocurrencies that rely on energy-intensive mining methods like Bitcoin has sparked a reaction from the Old World crypto industry and community.
This week, members of the European Parliament called for the introduction of effective and uniform taxation rules for crypto assets across member states. A non-binding resolution voted by an overwhelming majority of European lawmakers also recommends blockchain technology to combat tax evasion and provide simplified tax treatment for small and occasional cryptocurrency traders.
What impact do you expect MiCA legislation to have on the European crypto space? Share your thoughts on the topic in the comments section below.
Image Source: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for reference only. It is not a direct offer or invitation to offer, nor is it a recommendation or endorsement of any product, service or company. Bitcoin Network Does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused or related to the use of or reliance on any content, goods or services mentioned herein.