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the US response
Europe: the Notfinally implemented, it is rapidly outlining a new standard in the regulation of digital financial services, indirectly involving the position of United States (UNITED STATES OF AMERICA).
Dante AwayCircle CEO, stresses the critical importance for the United States to reassert its role as a global leader not only in innovation, but also in setting the rules that will guide the future of the industry.
Let’s see all the details below.
Europe: MiCA and its global impact, including the USA
As anticipated, the European Union will unveil the first phase of its landmark global law to regulate digital assets on Sunday.
Thanks to the new regulatory framework for cryptocurrency markets, Europe has managed to do what other jurisdictions, including the United States, are still putting off.
This is to provide legal and regulatory clarity for the entire digital asset market, not just a portion of it.
Europe has in fact dedicated the last five years to concerted political development.
This is because driven by the possibility of the entry of Great technology in financial markets, such as Meta’s Diem (formerly Libra) initiative, and concerns about uncontrolled cryptocurrencies.
Recall that MiCA will have the effect of permanently connecting digital activities to the real economy, in a typically European way.
In particular, MiCA addresses several issues by donating stable currency denominated in euros a chance of success in a consumer market of 441 million people.
While some aspects of MiCA are protectionist, aimed at protecting European consumers and investors from the risks of cryptocurrencies, there is also an element of economic and technological sovereignty at play.
Offshore stablecoins, diplomatically called global stablecoins, are not permitted under MiCA.
The U.S. Regulatory Future and the Need for a Global Response
MiCA represents a profound change for the industry cryptocurrencies and the banking sector, which requires strict compliance and a substantial presence in the EU.
Authorized entities must be under responsible management in an EU jurisdiction to operate across the federation, thanks to pan-European regulatory harmonisation.
This model strengthens collective responsibility and consumer protection in the digital asset value chain.
Now that Europe has introduced MiCA, the US must take action to reaffirm its role as a global leader in financial services regulation and innovation, according to CEO Circle.
A competitive approach could include implementing a “NAFTA for Digital Assets” across North America.
However, a more lasting solution may be the formation of a transcontinental Western digital assets alliance that enshrines shared democratic values and shapes the future of exponential technologies.
Bitstamp is preparing for the implementation of the MiCA regulation
Bitstampone of the leading cryptocurrency exchange platforms, has announced that it will make significant improvements to its offer by 30 June 2024. This announcement comes in preparation for the entry into force of the MiCA regulation across the European Union.
The MiCA regulation, an acronym for Markets in Crypto-Assets Regulation, will be operational from June 30, 2024. Bitstamp welcomed this regulation, confirming its commitment to fully comply with the new requirements.
Among the planned changes, Bitstamp will eliminate the dominance of the EUR in the EURT stablecoin and keep existing electronic money tokens (EMTs) on the platform that are not dominated by the euro, but comply with MiCA regulations.
However, the availability of these EMTs will be limited and no new EMTs will be listed unless they meet the MiCA requirements.
James SullivanBitstamp CEO for the UK, expressed his support for these changes. In particular, he highlighted the platform’s commitment to security and regulatory compliance.
Sullivan also said that this transition puts Bitstamp in a strong position to adapt to upcoming changes. Thus maintaining direct contact with interested users.
Bitstamp’s announcement comes just days after the listing of Good ($BONK) on its platform. An event that sparked speculation about an increase in the liquidity and value of the token.
$BONK rose 2% following the announcement, then fell 3.20% over the past 24 hours, settling around $0.00002223.