EU Regulators Introduce Digital Asset Classification Under MiCA

European regulators initiated public discussions on the guidelines for classifying digital assets proposed under the new legislation the Markets in Crypto-Assets Regulation (MiCA).

EU Regulators Standardize Crypto Classification

The European Securities and Markets Authority (ESMA), together with the European Banking Authority (EBA) and the European Insurance and Occupational Pensions Authority (EIOPA), invited everyone to discuss the guidelines regarding the classification of digital assets.

The initiative is a part of implementing the MiCA bill, passed by the European Parliament last year and partially entered into force this year. Digital asset classification guidelines are necessary to ensure consistency and transparency in Europe’s cryptocurrency market.

According to the press release, the regulators initiated a public consultation to help market participants understand their responsibilities and rights in the new regulatory environment. The regulators are prepared to hold public discussions on various issues related to the classification of crypto-assets. In particular:

  • defining the criteria by which assets will be categorized;
  • considering different categories of digital assets.

The developed guidelines contain a standardized test allowing market participants to assess whether a digital asset complies with EU regulatory requirements. The test contains a series of templates for determining whether a particular digital asset is an asset-referenced token (ART) or an electronic money token (EMT). These two asset classes fall under the MiCA bill and are authorized for use in the EU.

According to Verena Ross, Executive Director of the ESMA, developing clear and understandable guidelines for classifying digital assets is a key element for the successful implementation of MiCA. She believes such an approach will ensure investor protection and the EEA’s stability and support innovation in financial technology.

Regulators called on all stakeholders, including market participants, professional associations, and the public, to participate in the process actively. The consultation will last until the end of September 2024, after which the document will be amended as necessary. The guidelines will be officially published in the EU Journal and entered into force in 2025.

A package of technical standards and guidelines for ART and EMT issuers under the MiCA bill was presented to the EBA last month.

Сообщение EU Regulators Introduce Digital Asset Classification Under MiCA появились сначала на CoinsPaid Media.

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