Markets in Crypto Assets (MiCA) Regulation
The EU’s proposed regime for crypto-assets
In September 2020, the European Commission released its proposed Markets in Crypto-Assets (MiCA) Regulation.
The infographic below is Braithwate's summary of the key components: three regulated forms of Crypto-Asset (Utility Token, Stablecoin and E-Money Token) and new authorisations and compliance requirements for Crypto-Asset Service Providers.
The regulation effectively applies MiFID II, Prospectus Reg and MAR standards to crypto-assets, with a Crypto Whitepaper replacing traditional Prospectus rules.
While some may see this as over-reach, we welcome the articulation of a coherent regulatory framework to bolster the mainstream adoption of digital assets.
The regulation is currently in the latter stages of the EU policy process and we expect final rules in Autumn/Winter 2022, with entry into force in 2023 and the main provisions taking effect during 2024.
Newsflash: 5 October 2022 - final MiCA text approved
We will update our analysis as soon as possible.