EU Commissioner Charges US to Speed up Crypto Regulations

After the European Union (EU) has successfully proceeded with its landmark crypto regulations for the region dubbed Markets in Crypto Asset (MiCA), it has charged its US counterpart to do the same to ensure global regulations.

The charge was made by Mairead McGuiness, EU financial service commissioner during an interview with the Financial Times. In her words, “We do need to see other players also legislating, perhaps differently, but with the same objective…We need to look at global regulation of crypto.”

The MiCA bill recently got the approval of the European Union lawmakers completing the tripartite deal needed for the implementation of the bill that will regulate the digital asset space within member countries. The law might become effective as soon as the start of 2024. 

Two executives of Moody’s, a financial services firm have said the MiCA bill will open up innovation opportunities for stablecoins when it is finally implemented. Meanwhile, in a bipartisan move, US lawmakers earlier in July agreed to postpone the timeline for evaluating the stablecoin bill designed to address the danger and skepticism surrounding the digital asset.

Also, the US Treasury Department delivered a comprehensive framework targeted at the digital currency ecosystem. The framework details how the US will work with other global leaders to protect final consumers.

Call for Global Crypto Regulations

Given recent developments in the crypto ecosystem, global crypto regulations will provide the right tool to address the concerns on consumer protection, market integrity, and financial stability.

Prior to McGuiness’ call, the Prime minister of India, Narendra Modi called for a global standard on crypto. The minister advocated for global cooperation to decide on the future of the nascent asset.

Also, India’s Finance Minister Nirmala Sitharaman during a G20 forum stressed that no nation can manage cryptocurrency in isolation. She, therefore, enjoined all member countries to actively participate in the effective regulation of crypto assets as she’s wary of the threat the widespread use of cryptocurrency poses to financial stability. 

Sitharaman also shared India’s plan to develop a standard operating procedure for cryptocurrencies during the meeting where important issues faced by the global economy were discussed.