The EU seeks to transfer cryptocurrency regulatory authority to the European Securities and Markets Authority

The European Commission plans to transfer regulatory authority over cryptocurrency companies to the EU's market regulatory body as part of a package of measures for the "comprehensive integration" of financial markets.

The European Commission stated that incorporating cryptocurrency regulation into the European Securities and Markets Authority (ESMA) will make regulation more effective and benefit cross-border activities. This move aims to address the fragmentation caused by differences in regulatory approaches among the 27 member states. Previously, individual national regulators, including France's AMF, Austria's FMA, and Italy's Consob, expressed concerns about the implementation of MiCA and called for ESMA to strengthen oversight. The proposal still needs to be negotiated and approved by the European Parliament and the European Council.