The Council of the European Union, which includes 27 countries, unanimously approved the draft law on the regulation of the market of crypto-assets (MiCA). Member States also approved new measures to combat money laundering.
The draft law on comprehensive regulation of the crypto industry, adopted on April 20, requires companies to obtain a license to work in a block of countries, and stablecoin issuers to have backup.
“Today we are making good on our promise to start regulating the cryptocurrency sector. Recent events have confirmed the need to introduce rules that will protect Europeans who have invested in digital assets and prevent misuse of the technology for money laundering and terrorist financing,” said the head of Sweden’s finance ministry, Elisabeth Svantesson, in a statement.
In addition to MiCA, the Council of the EU agreed bill on tax reporting for crypto firms. Document obligates companies to provide state authorities with information about their customers’ balances. The initiative has not yet become an official law — it requires the approval of the European Parliament.
The Vice-President for the Economy of the European Union, Valdis Dombrovskis, said that the proposal would help to “collect taxes more effectively and keep pace with developing technologies.”
“Crypto-assets and electronic money have great potential to stimulate the economy and innovation, but they also carry risks of reduced transparency and tax evasion or fraud,” he added.
