Key Regulatory Developments in Crypto on Both Sides of the Atlantic
- The CFTC initiated a framework for retail crypto-asset transactions on October 5, focusing on leveraged, margined, or financed transactions.
- ESMA issued an opinion on October 8 urging crypto providers to cease offering noncompliant stablecoins under MiCA regulations.
- On October 9, the EU Council moved towards direct ESMA supervision of major cross-border crypto firms.
- Celsius co-founder Alex Mashinsky reached a settlement with New York, barring him from the crypto industry and imposing up to $35 million in payments.
These regulatory actions illustrate significant steps towards more structured oversight of the cryptocurrency market both in the U.S. and Europe. The CFTC’s framework aims to regulate leveraged crypto transactions, while ESMA’s stance seeks compliance with stablecoin regulations under MiCA.
The EU Council’s move for direct ESMA supervision signals a shift towards centralized regulation for larger crypto firms, impacting their operational strategies across borders. (Source)
