Brussels, Belgium. The European Commission has launched a public consultation on the EU’s markets in crypto-assets regulation as it prepares to review whether the bloc’s digital assets framework remains fit for purpose, the Finance Ministry said. The consultation was issued on May 19 and seeks data and views ahead of possible proposals to revise Regulation (EU) 2023/1114, known as the MiCA regulation.
Review process under MiCA
According to the ministry, the consultation forms part of the commission’s work under Articles 140 and 142 of MiCA, which require it to assess the application of the regulation and report on recent developments in the crypto-assets sector.
Under Article 140, the Commission must submit a report on the application of MiCA to the European Parliament and the Council by June 30, 2027, after consulting the European Banking Authority and the European Securities and Markets Authority.
The report may also be accompanied by a legislative proposal.
Scope of the assessment
At the same time, Article 142 requires the commission to report to the European Parliament and the Council on the latest developments in crypto-assets, particularly in areas left outside the original scope of MiCA.
The ministry said the commission considers it necessary to assess the first experiences from implementing the regulation while also looking ahead to ensure that the EU’s political and regulatory framework for digital assets reflects market, policy and regulatory developments.
Competitiveness and administrative burden
Beyond financial stability and investor protection, the ministry added, the commission is also placing emphasis on strengthening the EU’s competitiveness.
In this context, the consultation will also seek to identify and reduce, or where possible eliminate, any disproportionate administrative burdens or bureaucratic red tape arising from the implementation of MiCA.
“The regulatory approach remains technologically neutral, ensuring the freedom of choice of market participants,” the ministry said.
