Sat, July 27, 2024 at 15:17
Hello, Annie.
Today, I want to discuss a recent post by Patrick Hansen, the Policy Lead at Circle, regarding some misleading news about the European Union.
Oh, interesting!
What kind of misleading news was it?🤔
There were rumors circulating that the EU was planning to develop an EU-wide asset registry for cash, crypto, and arts.
However, Hansen clarified that this is not true.
Wow, that sounds serious.
What did Hansen say exactly?
Hansen highlighted a statement by the EU Commission spokesman, Eric Mamer, who debunked the rumor.
Mamer made it clear that the EU Commission has no intention of setting up such a central database.
Phew, that's a relief!😅 So, what is the EU actually doing then?
The EU is currently undertaking a study on the practice of registering assets in the member states.
However, this study does not include plans to develop a wealth registry.
Got it.
So, what's the purpose of this study?
The study aims to provide insights into the mechanisms that exist in the 27 member states of the EU.
It’s more about understanding the current practices rather than creating a new system.
I see.
Did they do something similar before?
Yes, three years ago, the EU Commission commissioned a study to investigate the feasibility of a European asset registry in the context of fighting money laundering and tax evasion.
And what was the outcome of that study?
The study concluded that creating fully-fledged registries denoting ownership and value of assets was mostly found to be operationally not feasible for this group of assets.
That makes sense.
So, what should people be cautious about?
Hansen advised his followers to be cautious with EU-related news on X, even if it’s shared by large accounts.
This applies to news about other regions as well.
That's good advice.
People often spread false news to create confusion.😕
Exactly.
Bad actors or clout chasers often post false news to generate excitement or confusion among viewers.
So, what is the EU focusing on right now?
Currently, the EU is focused on the implementation of the Market in Crypto Asset (MiCA) regulation.
Several financial service providers in the region are complying with this rule.
Oh, I heard about MiCA.
What are the recent developments?
A few weeks ago, the Bank of Italy released guidelines for the EU’s MiCA regulation.
Additionally, the European Securities and Market Authority (ESMA) announced an updated Q&A on certain guidelines, including the provision of staking services under MiCA.
That's quite a lot of information!
So, is this news good or bad for the market?
Overall, I would say this is good news.
It clarifies the EU's stance and helps prevent misinformation.
The focus on MiCA also indicates a structured approach to crypto regulation, which can be beneficial for market stability.
Upon comprehensive consideration, this news is perceived as a 😍Bullish.