Proposed changes include stricter cybersecurity rules, clearer filings, and rules for non-EU platforms.
France, Italy, and Austria are asking the European Union to improve how cryptocurrency is controlled under the MiCA law. These countries are worried about differences in national rules, as reported by Daily Crypto News. They are saying that these differences could put investors at a risk and give some firms an unfair advantage.
Since MiCA started in December 2024, each EU country has understood the rules differently. France’s AMF, Italy’s Consob, and Austria’s FMA have taken a notice of these differences. Some countries are more strict, while the others are more easy going.
These gaps could let some crypto companies to work in a country with less rules and then offer services all over the EU. This gives a risk for investors and could weaken the trust in the market.
To fix these problems, the three countries want the European Securities and Markets Authority (ESMA) to play a much bigger role. They think that ESMA could watch over major crypto firms the same way, in all the EU countries.
Centralized supervision could reduce any confusion and make the rules more predictable. Also it could protect investors more from any risks from different national rules
France has warned that it may question the rights of crypto firms from other countries. That is if the rules from their home countries are not strong enough.
If this happens, some firms may need to change how they work. It could also make the EU rethink the rules for crypto services across borders.
The regulators have suggested a lot of changes to MiCA. These include:
These changes aim to keep the investors safe and make the crypto market secure.
Not all EU countries agree with giving ESMA more power. Some are worried that giving all the power to one place can take away a country’s independence.
This difference shows that regulating crypto in Europe is not such an easy job. The EU must keep the country’s control, but also have clear rules for crypto.
Stronger supervision could increase the trust in the crypto market. Investors would feel more safe, and companies would have clearer rules to follow.
It could also make the crypto firms to act more responsibly. Because when the rules are clear and more fair it can help to reduce the scams and fraud.
The talks are still going, and the result will affect the future of crypto in Europe. If France, Italy, and Austria succeed, it could mean EU rules will get more strict with better supervision.
For investors and crypto companies, this could mean a safer and more stable market. It also shows why countries need to work together to control the ever changing technologies.
