The European financial regulator plans to extend its authority over cryptocurrency exchanges and trading platforms, aiming to strengthen market transparency and investor protection.
According to insiders, the upcoming framework could align crypto oversight with that of traditional financial markets, including stricter licensing, compliance, and reporting rules.
The move follows growing pressure from lawmakers to close regulatory gaps after several high-profile crypto failures and security breaches across Europe.
💡 3 Key Insights
- Unified Regulation Across EU
The new framework could end the “regulatory patchwork” by creating a single rulebook for crypto businesses operating in all EU member states. - Rising Compliance Costs
Smaller exchanges may struggle with capital and auditing requirements, driving industry consolidation and M&A among crypto firms. - Investor Trust Boost
Stronger supervision and clearer custody rules are expected to increase user confidence, attracting more institutional players to the European market.
