Europe to regulate cryptocurrency trading

The European Council has passed regulations that will require businesses that trade cryptocurrency to be authorised.

Brussels.- The European Council has passed the Markets in Crypto-assets (MiCA) regulation, which could have an impact on crypto casinos. It introduces a requirement for organisations that issue or trade cryptocurrency in the European Union to be regulated.

Member states will have three months to develop frameworks for the authorisation of crypto businesses. They will also have to pass information on the largest cryptocurrency businesses to the European Securities and Markets Authority (ESMA) on a regular basis.

The regulations also include some provisions regarding anti-money laundering, requiring the European Banking Authority (EBA) to keep a list of non-compliant crypto businesses. Organisations that undertake cryptocurrency activities from high-risk countries will have to implement enhanced AML checks in line with the EU’s framework

Swedish finance minister Elisabeth Svantesson said: “I am very pleased that today we are delivering on our promise to start regulating the crypto-assets sector. Recent events have confirmed the urgent need for imposing rules which will better protect Europeans who have invested in these assets, and prevent the misuse of the crypto industry for the purposes of money laundering and financing of terrorism.”

Presented in September 2020, MiCA forms part of a wider package on digital finance that also includes a digital finance strategy and a Digital Operational Resilience Act (DORA) covering crypto businesses.

See also: EU warns of requirements for enhanced due diligence measures