Bitcoin News

Story: EU Passes Major Crypto Law as US Crackdown Intensifies

By Steven Anderson

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SEC Doubles Down on Enforcement. SEC Chair Gary Gensler cranked up the pressure Tuesday, saying crypto exchanges need the same…

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Industry Split on New Rules. Crypto companies can't agree on whether regulation helps or hurts.

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The European Parliament voted Wednesday to pass MiCA, the bloc's first comprehensive crypto regulation.

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MiCA forces crypto firms to get licenses before operating in Europe. The law covers everything from Bitcoin exchanges to stablecoin issuers, creating what EU officials call a…

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"We're not going to let crypto markets operate in the shadows," Gensler said during a congressional hearing.

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Binance CEO Changpeng Zhao fired back on Twitter: "Regulation through litigation isn't the answer.

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Crypto companies can't agree on whether regulation helps or hurts. European firms mostly welcome MiCA because it provides clarity after years of confusion.

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But US companies are freaking out about the SEC's aggressive stance. Circle, which issues the USDC stablecoin, relocated some operations to Europe specifically because of…

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The divide is getting worse. European crypto firms raised $2.1 billion in Q1 2024, up 67% from last year.

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MiCA won't take effect until 2025, giving companies 18 months to prepare. The transition period covers everything from compliance systems to new reporting requirements.

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Smaller firms worry about costs. "We're basically building a compliance department from scratch," said Maria Santos, founder of a Portuguese crypto wallet company.

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The UK Treasury announced its own crypto framework April 10, targeting a 2026 launch. France's AMF released a warning list April 14 naming 47 unauthorized crypto operators.

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Japan tightened anti-money laundering requirements April 8, giving several exchanges until June to fix their systems or face sanctions.

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Bank of England officials worry about stablecoins creating systemic risks, per an April 11 report.

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All this regulatory activity creates a patchwork of rules that crypto firms have to navigate. Companies operating globally face compliance costs that smaller startups can't afford.

The Currency Analytics

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