Key Takeaways:
- Europe’s MiCA regulation sets a new standard for crypto expertise with mandatory staff qualifications.
- ESMA’s proposed guidelines ensure informed advice, bolstering investor protection in the crypto space.
- By setting minimum competency standards, MiCA aims to instill greater trust in the volatile digital asset market.
The European crypto landscape is undergoing a transformation as the EU strives to create a secure, transparent environment for digital asset investments. The European Union is actively shaping the future of crypto regulation through new legislative initiatives.
A key aspect of MiCA is ensuring that crypto professionals receive better training and develop a deeper understanding of the industry. MiCA aims to ensure that professionals advising investors have the necessary expertise to provide accurate and responsible guidance. The European Securities and Markets Authority﹙ESMA﹚is responsible for developing guidelines to implement this objective.
ESMA: Architect of Consistent and Effective Crypto Regulation
ESMA, the main securities markets regulator of the European Union has a crucial part in the policy and legal infrastructure of MiCA. ESMA aims to elaborate on technical standards and guidelines to offer a clear understanding of the rules of MiCA and ensure the same treatment of these rules throughout all EU member states. Such uniformity is a prerequisite for a fair competition environment to be ensured with a view to investors and crypto asset service providers (CASPs).
Specifically ESMA suggests that the establishment of requirements for the knowledge and competence assessment of CASP staff, especially of those who deal with customers by giving them advice or disclosure of information on crypto assets would be the best way to achieve this goal. The goal is to create a regulatory framework that protects investors, prevents market abuse, and ensures fair trading practices.
More News: MiCA Regulation: A New Dawn or a Dark Cloud for Europe’s Crypto Market?
Unpacking ESMA’s Proposed Qualification Guidelines
The proposal of ESMA
ESMA’s new rules on specific guidelines explicitly state the criteria for the assessment of CASP personnel’s competence and expertise with the main focus being on those whose advice or information services are most closely related to cryptocurrencies. So, let’s first examine the key building blocks of these guidelines:
- Consistency is key to creating a unified and accessible…
Click Here to Read the Full Original Article at CryptoNinjas…
