The European Securities and Markets Authority (ESMA) will consult in July on proposed new complaint-handling and conflict-of-interest rules for crypto companies within the European Union (EU). This is according to a notice on the regulator’s website. The proposed rules are part of the EU’s new Markets in Crypto Assets (MiCA) regulations.
ESMA will set out proposals next month for how the MiCA rules should work in practice, including the forms and notifications that crypto companies and established funds have to follow in order to offer services within the bloc. This includes disclosures of environmental impacts, trading transparency, governance requirements, market abuse, and investor protection.
MiCA was published in the EU’s official journal on Friday and will allow crypto exchanges to operate across the bloc with a single license as of the end of next year. Rules requiring stablecoin issuers to hold appropriate reserves take effect as of June 2024.
Industry lobbyists have said how the rules are implemented under subsidiary legislation could prove crucial in practice, said ESMA. Further procedural rules are expected from ESMA’s counterpart, the European Banking Authority, which will be responsible for setting capital requirements and supervising significant stablecoins.