The European Union (EU) is one step closer to enactment of the long-awaited MiCA crypto law. Yesterday, the Economic and Monetary Affairs Committee (ECON) passed the bill almost unanimously. “Good news,” said one of the committee members.
Crypto law in EU takes new step
The MiCA Act, which is an abbreviation for Markets in Crypto Assets, was also briefly in the crypto news last week. That is when the legal text was adopted by the European Council, after which it still has to pass several stops. Yesterday it was ECON’s turn to say something about it. The law passed without too much trouble.
28 members voted in favor and only 1 against. It therefore seems plausible that the law will go through the further process without too much difficulty. MiCA could be submitted to the European Parliament at the end of this year.
Stefan Berger, one of the members of the ECON, said of the news:
“One step further… The outcome of the trilogue negotiations on MiCA was accepted by the ECON committee. good news”
Wieder einen Schritt weiter…Das Ergebnis der Trilog-Verhandlung zu #Mica wurde vom ECON-Ausschuss angenommen. Gute Nachrichten https://t.co/z73pkZMYvO
— Stefan Berger (@DrStefanBerger) October 10, 2022
Crypto law still has to pass these stops
According to journalist Patrick Hansen, there are now four steps to go. Now the text will go to lawyers and linguists for checking. The European Parliament will then vote on it.
MiCA is now another step further. The ECON committee just confirmed the deal.
✅ COREPER approval in the council
✅ ECON committee confirmation
❎ Lawyer/linguist checks
❎ EP plenary vote
❎ Ministerial approval in the council
❎ Publication in the official journal of the EU https://t.co/IAcAeAJsFV— Patrick Hansen (@paddi_hansen) October 10, 2022
Even though there are only a few stops left to pass, we will have to wait quite a while before the law actually comes into effect. The law is expected to be published in the Official Journal of the European Union next spring. The law will not come into effect until 12 to 18 months later.
Law is important for crypto sector
Legislation and regulations can be boring with a lot of dry legal texts and slow processes. Nevertheless, it is important to keep a close eye on developments in this area.
For example, it was previously read that the new law could unleash enormous stablecoin innovation. Furthermore, it could further prosper the crypto sector in the EU as there is more clarity for businesses. That can of course provide a positive boost for bitcoin (BTC) and crypto in general.