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The European Securities and Markets Authority (ESMA) will be entering the next part of its consultation process for the newly adopted Markets in Crypto-Assets (MiCA) bill.
According to a notice posted by the EU’s financial authority, the three-phase consultation packages will be launched and will come into play from July 2023. The packages will cover certain aspects of the digital currency industry. These are including, but not limited to, provisions for those issuing and trading cryptocurrency and digital tokens, covering transparency, disclosure, and the authorisation and supervision of transactions within the digital assets space. According to ESMA’s notice, the new framework will also help support market integrity and encourage financial stability by regulating public services of crypto assets. The bill is also in place to help make sure users and customers of cryptocurrencies are aware of their associated risks.
🚀 #MiCA enters into force at the end of June.
🗓️ To begin implementation, #ESMA with relevant stakeholders will launch 3⃣ public consultations in July, October & Q1 2024 → https://t.co/AvePQSapZp.
🔜 Details on the duration of each public comment period. pic.twitter.com/QFlERttwxR
— ESMA – EU Securities Markets Regulator 🇪🇺 (@ESMAComms) June 12, 2023
The first consultation package, launching in July, will include a set of technical standards. This will regulate the application of crypto asset services and product providers in the EU. It will also include appropriate protocols for handling feedback and dealing with conflicts of interest.
The second package, which is launching in October, will consider the necessary disclosure of information to investors and will include governance requirements for cryptocurrency platforms. This consultation package also includes aspects of sustainability and environmental maintenance.
The third and final consultation, set to be launched in the first quarter of next year, will include investor protection rules and rules to counter market abuse. According to ESMA, the next step will be an application for the new regime, with different standards set for different protocols.