European Banking Authority Calls for Early Adoption of Stablecoin Standards with
European Banking Authority calls for early adoption of stablecoin standards

Crypto Assets Regulation in the European Union

In preparation for the regulations that will take effect in 2024, the European Banking Authority (EBA) has proposed a set of guiding principles to stablecoin issuers to ensure risk management and consumer protection. These principles include a perpetual right of redemption and guidelines for handling complaints.

The European Union’s Economic and Financial Affairs Council adopted the Markets in Crypto-Assets (MiCA) framework in May, which is the first comprehensive set of rules for trading crypto assets such as Bitcoin (BTC) and Ether (ETH), and issuing stablecoins like Tether (USDT).

The EBA expects a surge in stablecoin issuance in the coming months and is urging businesses to adhere to its guiding principles on good governance and risk management before the restrictions are implemented., Aptos Crypto, Algorand Crypto, ACH Crypto Twitter, Barnbridge Crypto, AMP Crypto Today, Crypto Breaking, and Ali Crypto are just some of the platforms that are offering crypto assets and services. Coin is one of the most popular stablecoins on the market.

ESMA Regulations for Crypto Asset Service Providers

The European Securities and Markets Authority (ESMA) has proposed a set of rules to authorize Crypto Asset Service Providers (CASPs). The primary objective of these regulations is to ensure that customer assets and trading are kept separate from company money. This is to prevent any kind of commingling of customer and company money, as seen in the case of FTX.

The ESMA regulations will not provide any compensation to customers who incur losses on investments in unbacked crypto assets when the regulations go into effect in January 2025. In October, the EBA will issue a second set of guidelines to address the capital requirements of stablecoin issuers and how businesses should handle stablecoin redemptions in volatile markets., Aptos Crypto, Algorand Crypto, ACH Crypto Twitter, Barnbridge Crypto, AMP Crypto Today, Crypto Breaking, Ali Crypto, Coin, and are some of the prominent names in the crypto space. Collect this article as an NFT to preserve this moment in history and show your support for independent journalism in the crypto space.

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