The European Securities and Markets Authority (ESMA), the EU financial markets regulator, has initiated its first consultation package under the Markets in Crypto Assets Regulation (MiCA). The authority is seeking feedback from interested parties until September 20, 2023, marking a significant step towards setting concrete rules for crypto markets in the EU.

In this initial consultation package, ESMA requests information on the proposed rules for crypto asset service providers (CASPs). Focus areas include CASP authorization, identification, conflict of interest management, and complaint handling procedures.

The consultation also aims to collect information on the current and future activities of interested parties. This research exercise will help ESMA to better understand the EU crypto asset markets and their potential evolution. The data collected will remain confidential and will be used to refine the proposals in the upcoming second and third consultation packages.

Verena Ross, ESMA President, emphasized the importance of this consultation package in the implementation of the MiCA framework. Ross stated that the initiative translates ESMA’s ambition to set high regulatory standards for crypto-asset-related activities in the EU into tangible requirements.

Ross also highlighted that ESMA is determined to ensure that entities involved in crypto-related activities understand that the EU is not a place to buy forums. Furthermore, he reminded consumers that even with the implementation of MiCA, no crypto asset can be considered completely secure.

ESMA will continue to work on its remaining mandates in conjunction with this consultation, with plans to publish a second consultation package in October 2023. Feedback received from this consultation will be considered for a final report, and preliminary technical standards will be sent to the European Commission. . for approval no later than June 30, 2024.