The European Markets in Crypto-Assets Regulation (Regulation (EU) 2023/1114 – MiCA), which entered into force on 29 June 2023, is a significant new regulation that will impact the treatment of cryptocurrencies and digital assets. MiCA requires the European Securities and Markets Authority (ESMA) to develop a series of regulatory technical standards (RTS) and implement technical standards (ITS) and Guidelines. Many of these regulations are to be developed in close cooperation with the European Banking Association (EBA).
In addition, the German Federal Ministry of Finance and the Federal Ministry of Justice have launched a draft bill on the financing of future-proof investments, the Future Financing Act (“ZuFinG”). This will put Germany ahead of the curve as it is intended to advance the digitalisation of the capital market by opening up German law to electronic shares and crypto securities.