Chairman of ESMA: MiCA does not provide the same protection as traditional financial products

Odaily Planet Daily News Verena Ross, chairman of the European Securities and Markets Authority, said that MiCA has introduced a unified regulatory framework in various EU markets, covering encrypted assets that are currently not regulated by existing financial services legislation. It will significantly change the current situation, which is a heterogeneous system in various countries, ranging from provisions that only apply to anti-money laundering, to more mature standards similar to MiCA. MiCA introduces key provisions for entities that issue cryptoassets, provide cryptoasset trading and cryptoasset-related investment advice, custody and other services. Among them, it is worth highlighting the authorization and governance requirements applicable to crypto asset service providers, disclosures related to crypto products, and requirements aimed at ensuring the integrity of the crypto market. The new framework aims to provide consumer protection, enhance market integrity and promote financial stability. In the past, these markets have been volatile and, in some cases, prone to fraud. MiCA should ensure that all companies providing crypto-asset-related services in the EU are subject to the uniform regulation and supervision of its NCA. Consumers will have more information about products and the risks involved. It's important to remember that even with the implementation of MiCA (which is clearly a step forward), there will be no such thing as a "safe crypto asset". Consumers need to be aware that MiCA does not offer the same protection as traditional financial products.