The latest report from Cyprus Mail has found out the Europian Union is planning to diversify and classify bitcoin and other cryptocurrencies as financial instruments accepted in Europe.
Back in 2019, The Europian Union opened a consultation that publicly asked companies to put their comments. The comments were provided by fishes as Google and Paypal. After hearing the comments the Vice President at that time Valdis Dombrovskis, stated:
Lack of legal certainty is often cited as the main barrier to developing a sound crypto-asset market in the EU. This is a good chance for Europe to strengthen its international standing and to become a global standard-setter, with European companies leading new technologies for digital finance.
One of the biggest impacts this will have to have a single market across Europe and regulate the cryptos. Even though cryptos are decentralized and meant not to be regulated the idea is for companies who sell or buy cryptos to be regulated.
As we know in the last year the UK government wants to regulate advertisements for cryptocurrencies to eliminate the scammers that been ripping off people in the name of traders.
The biggest impact this framework and regulation will have is :
- requirements for stablecoin issuers
- requirements for cryptocurrency service providers
- a definition of crypto assets.
The legislation is expected to be completed by the end of the third quarter of this year.