Just-In: EU Parliament Votes In To Regulate Crypto; Bitcoin Drops 2%

Bitcoin Price News: European parliament on Thursday voted in to pass MiCA, the first comprehensive rules for digital crypto asset service providers. This includes all sorts of crypto assets and stablecoins. Bitcoin (BTC), the world’s largest crypto price dropped by over 2% in the last 24 hours.

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EU Votes In Favor Of MiCA

As per reports, EU lawmakers voted in 517 in the favour of MiCA, while it received 38 votes against the set of rules. This is the first time that governments came together to supervise the emerging crypto industry. However, this development comes in when the market saw the horrible collapse of several crypto exchanges and projects.

Bloomberg reported that Mairead McGuinness, European Financial Services Commissioner stated she is expecting the law to come into effect by July. However, it will need to get approved by the bloc’s 27 member states.

First tabled by the Commission in September 2020, MiCA was part of the wider digital finance package. This included DORA (Digital Operational Resilience Act) and DLR pilot regime for wholesale uses. The implication of MiCA will allow the market participants to sail in without navigating 27 sets of different national rules and regulations. Read More Crypto News Here…

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It is expected that the stablecoin related provisions will apply in July 2024. This will come into order after 12 months of regulations coming into effect. The European Banking Authority will be having new mandates including supervisory functions for significant stablecoin issuers.

Bitcoin which was riding on the recovery rally, dropped by over 2% in the last 24 hours. BTC is trading at an average price of $28,888, at the press time. Its 24 hour trading volume is down by 7% to stand at $21 billion.