EU Mandates Wallet Providers To Verify Users' Identities

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Ursula von der Leyen; Photo Source: Deutschland

The EU Council signed the regulatory framework of MiCA, a bill that seeks to establish licensing requirements for crypto platforms.

Earlier in June, the regulators established the conditions of Markets in Crypto Asset Regulation (MiCA). The bill will impose capital and regulatory requirements for crypto platforms operating in the 27 European Union countries. This will make MiCA the first law to implement crypto regulations on such a large scale.

EU regulators will require crypto wallet providers to verify users' identities. Previously, these requirements were only meant for wire transfers instead of crypto transactions.

MiCA will also require crypto exchanges to meet certain capital requirements. The EU believes this measure will help in preventing liquidity-related issues. If the bill receives approval of the European Parliament, its implementation may begin as early as 2024.

The European Union will also discuss cryptocurrencies in the upcoming IMF annual meeting with U.S. officials. In the words of Mairead McGuinness, 

“We have a crowded agenda for the US next week, and one of the items that won’t be at the bottom of the list, it will be in there right around the top is crypto.”

Written by
Ayush Pande

The EU Council signed the regulatory framework of MiCA, a bill that seeks to establish licensing requirements for crypto platforms.

Earlier in June, the regulators established the conditions of Markets in Crypto Asset Regulation (MiCA). The bill will impose capital and regulatory requirements for crypto platforms operating in the 27 European Union countries. This will make MiCA the first law to implement crypto regulations on such a large scale.

EU regulators will require crypto wallet providers to verify users' identities. Previously, these requirements were only meant for wire transfers instead of crypto transactions.

MiCA will also require crypto exchanges to meet certain capital requirements. The EU believes this measure will help in preventing liquidity-related issues. If the bill receives approval of the European Parliament, its implementation may begin as early as 2024.

The European Union will also discuss cryptocurrencies in the upcoming IMF annual meeting with U.S. officials. In the words of Mairead McGuinness, 

“We have a crowded agenda for the US next week, and one of the items that won’t be at the bottom of the list, it will be in there right around the top is crypto.”

Written by
Ayush Pande