Ripple execs praise EU’s move to approve MiCA legislation

• Ripple executives praised EU’s move to approve MiCA legislation as the firm is struggling to get regulatory clarity in the U.S.
• Susan Friedman, International Policy Counsel at Ripple, said that the company is looking forward to building and growing in Europe.

The European Union has approved the Markets in Crypto-Assets (MiCA) legislation, the first comprehensive set of rules to cater to the crypto industry in the continent. The development has found an admirer in Ripple Labs, which is struggling to get clarity in the United States as it continues to battle the Securities and Exchange Commission (SEC). 

Susan Friedman, International Policy Counsel at Ripple, praised the EU’s recent crypto move on Twitter. She stated that the U.S. is still focusing on enforcement instead of clarity. European lawmakers, on the other hand, have taken a big leap forward. 

While the US continues to focus on enforcement instead of clarity, the EU has taken a big leap forward with a sensible, progressive approach to #crypto regulation. We look forward to building and growing in the European marketplace! 🇪🇺 https://t.co/0NW8vchHxA

— Susan Friedman (@ss_friedman) April 20, 2023

Ripple’s Policy Director for EMEA, Andrew Whitworth, dubbed it a “landmark moment” for the global crypto business. However, he stated that the job is not yet finished. He said it is now up to the European Supervisory Authorities to develop firm-specific norms and regulations.

Europe to make way for clear crypto regulation through MiCA

The European Parliament voted 517-38 in favor of MiCA. The measure will now be put to a final official vote in the EU Council on 16 May. 

After being published in the EU’s Official Journal, the law will go into force for stablecoin issuers in June 2024 and for all other crypto-asset service providers in December 2024.

With MiCA, the EU aims to protect consumers and to allow companies to operate on an EU-wide basis. It also aims to provide legal certainty for companies and to establish a leadership role in global crypto regulation.

This comprehensive framework provides businesses with a clear standard for various services, such as token issuance, exchange, and custody, allowing for fair competition and innovation.

 The EU is hoping to become the next global hub for crypto projects as it embraces regulatory clarity. It has a large crypto market of 450 million consumers. 

The European Parliament also voted 529-29 in favor of a separate law known as the Transfer of Funds regulation. This requires crypto operators to identify their customers in a bid to halt money laundering.