|Author (Corporate)||European Commission: DG Financial Stability Financial Services and Capital Markets Union|
|Series Details||COM (2020) 593|
|Content Type||Blog & Commentary, News, Policy-making|
Legislative initiative tabled by the European Commission on 24 September 2020, proposing a framework aimed at regulating markets in crypto-assets (MiCA). It aims to amend Directive (EU) 2019/1937.
Crypto-assets are a digital representation of values or rights that can be stored and traded electronically. They can serve as an access key to a service, could facilitate payments, or could be designed as financial instruments.
The initiative cover crypto-assets falling outside existing EU financial services legislation, as well as e-money tokens. It comprises a set of objectives - legal certainty; support to innovation; introduction of appropriate levels of consumer and investor protection and market integrity; financial stability. This proposal includes safeguards to address potential risks to financial stability and orderly monetary policy that could arise from stablecoins. It also aims to amend Directive (EU) 2019/1937, concerning rules and procedures for the protection of whistleblowers.
Since the publication of the 2018 Fintech Action Plan, the Commission examined the opportunities and challenges raised by crypto-assets. The draft law was eventually tabled by the European Commission on 24 September 2020, as part of the so-called Digital Finance Package. The Council of the European Union adopted its general approach on 24 November 2021.
|Subject Categories||Business and Industry, Economic and Financial Affairs, Internal Markets|
|Subject Tags||Consumer Rights | Protection, Financial Services|
|Keywords||Cryptoassets | Cryptocurrencies, Digital Technology, Free Movement of Capital
|International Organisations||European Union [EU]|