The European Central Bank is asking for changes to the European Union markets in cryptographic asset legislation (MICA) only a few months after the rules have come into force, as it is concerned about American crypto support could lead to economic damage in the block of 27 countries, politico reported on Tuesday.
The bank requires a rewriting of Mica, whose stablecoin provisions came into force last June and which took full effect at the end of last year, a position which put it in conflict with the European Commission, reported Politico, citing a policy document. Neither the ECB nor the commission responded to a request for Coindesk comments.
The Central Bank is concerned by the American legislation which is currently working by Congress, such as the transparency and responsibility of the stablescoin for a better law on the LEDGER economy (stable) and the National Innovation Act for American Stables (Genius) could see the influence of the stable stables supported by a dollar increase further. The Stablescoin sector could reach 10 times to reach $ 2 billions within three years of the adoption of the legislation, standard approved forecasts.
At a meeting of April 14 with senior EU governments to discuss support in the United States for the crypto, the ECB distributed a document that argued that Mica needed serious rethink, said Politico, citing two diplomats and an EU official who were not identified. It was not a popular position.
“Not much [countries] supported the idea that we should now skip the pistol and start making quick changes in [the rules] Based on this alone, “said one of the diplomats.
The commission argued that it was still “too early” to judge the effect that the American cryptography environment would have on the financial stability of the EU and that a single global stable was authorized under new rules. Circle, the USDC issuer, the second largest stablecoin, hung the first stablecoin license under Mica in July from last year.
“The risks arising from these global stables seem to be overestimated and are manageable in the existing legal framework,” said the committee in a document distributed at the meeting.
Read more: the restrictive rules of the EU stable soon take effect and the issuers are lacking time
