New European Union (EU) laws could force proponents of non-fungible tokens (NFTs) to become legal entities, in a move that, according to experts, can establish the basis of economics, and “improve the value” of the cryptocurrency. Package management. The information is available in a form that CoinDesk has accessed.
The rules, now reaching the end, can also tighten the rules of foreign exchange entry into the EU and regulate tighter regulation of cryptocurrency mining energy use, despite the risk of Bitcoin (BTC) ban has been reduced.
This information was prepared by France, for which the government is responsible for regulating the discussions in the EU Council. It is not the date, but it is planned before the closing meeting is scheduled for this Friday (6) morning of European time (dawn in Brazil). Governments and legislators need to discuss their actions before legislation, called the “Trade in the Crypto Assets Regulation,” or MiCA, can become law.
While the government wants to see NFTs completely eliminated by the new law, the European Parliament has been concerned about their spending in the financial system and wants tighter policies.
This would mean that “the NFT provider must be a legitimate organization” rather than a just organization. In addition, it must be registered with the police and comply with other consumer protection laws established by law, according to the document.
“This will expand the scope of MiCA policy,” which will not only look at cryptocurrencies, but also at NFTs in the arts, entertainment and gaming world, the data said.
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Lawmakers seem to have the backing of the European Commission, which is responsible for furthering the economy – and which also raises concerns about the integrity of the NFT market, which fraud deception and deception have become more common.
The Forum also seems ready to put in place the challenge of legislators, who want to limit energy emissions from cryptocurrency mining. The European Parliament, unlike its previous counterpart, has failed to restrict the proof of functioning (PoW) protocol, which some have said could be decided to ban. Bitcoin. However, the organization wants to see new coins that limit their environmental impact on regulatory data.
The record states that France will “advise to support” this call by the government, as long as it is in the middle of decisions of different technologies, such as evidence of work. On Sunday, Mairead McGuinness, EU chief financial services chief, said the new global cryptocurrency deal should consider environmental impacts.
For financial management executives (DeFi), the news is better. The European Parliament has debated the inclusion of democratic organizations (DAOs) in the MiCa area, pushed the DAOs into a precarious position and questioned their relationship with the authorities. .
Lawmakers are now “opening the door” to government approvals, which are only expected to see an additional version of the Web 3.0 update in a year or two.
The government will also take a tighter line with non-cryptocurrency sites seeking to trade with EU consumers, the data has been reported.
Under the law that applies to traditional finances, foreign companies can also provide investment services, such as brokerage, to any European who comes to them and asks Pride – but these rules, called reversals, are somewhat vague and inconsistently applied.
According to the data, the cryptocurrency industry has stated that “insufficient management of re-applications can lead to reduced implementation of package rules and pave the way for unfair competition. . ” The crypto industry shows that the government is thinking about how to avoid inconsistencies or differences.
News of the French case comes shortly after the cryptocurrency exchange Binance confirmed it had been approved in France – meaning the company could be allowed to do business across the EU when MiCa is completed.
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