Regulation
Regulation of digital activities in Europe – DL News
The European Union’s Crypto Markets Regulation (MiCA) is the most comprehensive effort to regulate the digital asset sector. However, its onerous requirements could have a crippling effect on the sector, according to DL Research’s latest report, The State of Digital Assets in Europe.
As highlighted by the Chapter “Regulation” of the relationship MiCA has been praised for distinguishing the digital assets sector from the traditional financial sector, an approach that has differentiated regulators in Europe from those in the United States.
However, some stakeholders warn that the regulation is too burdensome and risks driving investment away from the bloc. This trend is already playing out in the UK, where uncertainty and cumbersome approval processes have led many companies to abandon efforts to do business in the country.
The chapter features expert commentary from Robert Kopitsch, Secretary General of Blockchain for Europe, who discusses the problems and solutions to MiCA’s shortcomings. Additionally, Laura Navaratnam, UK Policy Officer for the Crypto Council for Innovation, looks at the situation in the UK.
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