The President of the European Central Bank, Christine Lagarde, amid the difficult geopolitical situation in Eastern Europe, believes that a reliable regulatory framework is needed to stop illegal activities with cryptocurrencies.
European Central Bank President Christine Lagarde in an interview after a meeting of the Council of the European Union
stated about the “extreme importance” of getting the Cryptocurrency Regulation Act (MiCA) approved as soon as possible.
“There are always criminal ways to try to get around the ban. That is why it is so important that MiCA be adopted as quickly as possible and that we have a regulatory framework in place.”
The Crypto Asset Markets Act (MiCA) has been in development for several years to provide a framework for broad regulation of the growing cryptocurrency market. The vote on its adoption was supposed to take place on February 28, but February 26 was postponed indefinitely. The reason was criticism of the language of the bill, which could overly restrict or even prohibit the energy-intensive proof-of-work (PoW) process that ensures the security of bitcoin.
It is likely that Lagarde’s speech refers to the New York Times idea that Russia can use cryptocurrencies to circumvent EU and US sanctions. However, many experts in the field of law and blockchain believe that this is impossible.
In 2021, according to a survey by the International Trusted Blockchain Applications Association (INATBA), most crypto firms believe that the European Union Cryptocurrency Regulation (MiCA) bill will hinder innovation but reduce fraud. Late last year, the European Council approved two proposals to regulate digital assets in the EU. Irish Member of the European Parliament Chris MacManus proposed 45 amendments to European legislation aimed at tightening the regulation of cryptocurrencies in the EU.
Source: Bits
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