The European Regulation on the Crypto assets Market (MiCA) establishes “uniform rules throughout the European Union (EU)” on the trading of crypto assets, the provision of services and also the prevention of market abuse, indicates the Securities Market Commission (CMVM), in an informative note.

This regulation does not apply to all crypto assets, leaving out unique and non-fungible assets, known as NFTs (‘non-fungible tokens’).

MiCA aims to ensure that investors are better informed about the risks and that entities operating in this sector are subject to regulation and supervision, namely by creating protection mechanisms in the event of the provider's insolvency, also making it possible to make complaints free of charge.

Furthermore, “client funds must also be safeguarded if crypto active services involve the holding of client funds and such funds must be deposited in a separate or segregated bank account from any other accounts used for the deposit of funds belonging to the own crypto service providers.”

The CMVM also highlights that financial intermediaries that provide investment services can also provide crypto-active services, as long as they notify the competent authority of their home Member State.

Although the application started on 30 December, EU countries can allow entities to have an additional “transitional period” of up to 18 months.