The European Union is struggling to regulate the cryptocurrency market with its Markets in Cryptoassets (MiCA) regulation, which aims to increase transparency and curb money laundering but has faced criticism for its restrictive approach. Exchanges have started delisting Tether's USDT, the most-used stablecoin, causing disruptions for traders. In contrast, the incoming administration in the US under Trump is sending bullish signals to the crypto market, pushing Bitcoin to pass $100,000 and igniting rallies in speculative tokens. Trump is assembling a team of advocates for crypto regulation, including Howard Lutnick as head of the Department of Commerce, signaling a shift towards crypto-friendly policies. MiCA mandates that stablecoins listed on centralized exchanges must be issued by entities with e-money licenses, causing exchanges to drop USDT if they don't have the license. Critics argue that MiCA falls short of its goals, and the regulation alone won't solve enforcement challenges. Despite these challenges, crypto adoption in the EU has seen some growth, but the European Central Bank warns that the data may be skewed and adoption rates are still comparatively low.
- Content Editor ( cryptopolitan.com )
- 2024-12-20
Europe fumbles crypto playbook as Trump’s America leaves it behind