Prior to 2022, EU cryptocurrency regulation differed within individual member states. After a comprehensive negotiation process, the European Parliament and the Council has agreed to bring crypto-related business under the regulatory framework of the ‘ Markets in Crypto-Assets’ (MiCA) proposal. This is a work in progress and might take over 18 months to take effect, but it aims to unify the regulations and clarify misconceptions about the digital asset industry.
Changes to the Travel Rule
The new regulations will call for lowering the threshold for KYC for cryptocurrencies. This does not affect European businesses as they are accustomed to KYC regulations.
Changes for users with non-custodial wallets
The upcoming bill will require transfers from a cryptocurrency business to non-custodial or personal wallets
of over €1,000 to undergo a verification process.
TokenEX remains in compliance with the law, and therefore acts in accordance with the aforementioned regulations, to assure the best service for its customers.
The MiCA proposal has various other facets which we intend to speak on in the upcoming weeks.
