Crypto: the World Economic Forum reveals its 9 priorities for regulators

Home » Uncategorized » Crypto: the World Economic Forum reveals its 9 priorities for regulators

https://cryptoast.fr/forum-economique-mondial-regulation-crypto-mica-europe/

The World Economic Forum (WEF) published this week, with the Boston Consulting Group, a report on the regulation of crypto-assets. Based on the study of 35 jurisdictions, it proposes nine areas to regulate the sector, from legal security to the fight against financial crime.

Discover our top 10 best cryptocurrency exchange platforms

Europe already seems well positioned, but risks losing its lead, believes Faustine Fleuret, director of public affairs for the Morpho lending protocol, interviewed by Cryptoast.

By anticipating too much the scale and occurrence of risks, Europe is also slowing down the growth of its players.

To buy or exchange cryptos while waiting for the regulatory framework to become clearer, you can use a platform like Bitpanda.

With MiCA, fully applicable since the end of 2024, Europe benefits from regulatory clarity which “to date has no equivalent”, underlines Faustine Fleuret. But the regulation is already the subject of a consultation on its revision. Several national authorities are also questioning the European passport, which allows companies licensed in one member state to operate throughout the Union.

When it comes to regulation, predictability should be the inseparable twin of regulatory clarity.

These repeated regulatory changes result in additional costs for European companies. Conversely, certain foreign platforms can offer their services to European customers without authorization in the EU, provided that the latter contact them on their own initiative. This is the principle of reverse solicitation, which creates a risk of unfair competition.

On stablecoins, Europe has failed to reduce the dominance of the dollar. Faustine Fleuret calls for strengthening the competitiveness of stablecoins in euros, in particular by preserving their use in tokenized finance protocols.

Regulate, not prohibit, the returns linked to the use of stablecoins.

Another weak point is tokenization, which consists of representing financial assets on a blockchain.

The European "pilot" regime for DLT market infrastructures still remains what its name indicates: an experiment under ceilings, which has dissuaded more players than it has brought on board.

Machine-translated from French