In September 2020, the European Commission introduced a proposal for a regulation on Markets in Crypto-Assets (MiCA) as part of its digital finance strategy. MiCA will address crypto-assets that are not currently governed by existing regulations, such as e-money tokens, utility tokens or asset-referenced tokens.
MiCA will establish a legal framework for crypto-asset services providers as well as consumer protection. Crypto-asset services may notably include the custody and administration of crypto-assets on behalf of third parties.
Read the full regulation memo from BNP Paribas Securities Services for an in-depth view of MiCA and its implications.