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  • Writer's pictureDeborah

The Regulation on Markets in Cryptoassets ("MiCA”) was approved by the European Commission on 20 April 2023 (read our previous update here).


MICA covers the offering and admission to trading of cryptoassets as well as the provision of services in relation to cryptoassets.


MICA has four main objectives:

  • Provide a sound legal framework for cryptoassets not covered by existing financial services legislation

  • Support innovation, promotes cryptoassets and the use of distributed ledger technology (DLT) more broadly, and foster fair competition

  • Protect consumers, investors and market integrity

  • Enhance financial stability


The new regulation would apply to cryptoassets that are asset-referenced token (ART), electronic money token (EMT) and utility token; and would:

  • Establish transparency and disclosure requirements for the issuance and admission to trading of crypto-asset (e.g. content and form of the crypto-asset white paper; marketing communications; notification of the crypto-asset white paper; and, where applicable, of the marketing communications…).

  • Provide the rules for the authorisation and supervision of crypto-asset service providers and issuers of ART and issuers of EMT (e.g. application; content and form of the crypto-asset white paper for asset-referenced tokens; modification of published crypto-asset white papers for asset-referenced tokens…).

  • Regulate the operation, organisation and governance of issuers of ARTs, issuers of EMTs and crypto-asset service providers (e.g. ongoing information to holders of asset-referenced tokens; complaint handling procedure; prevention, identification, management and disclosure of conflicts of interest; information to competent authorities…)

  • Provide consumer protection rules for the issuance, trading, exchange and custody of crypto-assets, as well as measures to prevent market abuse to ensure the integrity of crypto-asset markets (e.g. reserve of assets; custody of reserve of assets; investment of reserves of assets; rights on issuers of asset-referenced tokens or on the reserve assets; acquisitions of issuers of asset-referenced tokens; classification of asset-referenced tokens as significant asset-referenced tokens….).


MICA is yet to be adopted by the Council of the European Union. Once adopted, the text will enter into force 18 months after its publication in the Official Journal of the European Union.



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