The European Union (E.U.) would now be focusing in the event of crypto assets classification and restrictive mapping. The Vice President of the European Commission ‘Valdis Dombrovskis’ proclaimed at a recent meeting of Economic and Financial Affairs Council (Ecofin) in Vienna.
According to the Vice President, crypto assets are “here to remain,” and also the crypto market will still “continues to grow” despite the “recent turbulence.”
Mentioning further he claimed that, so as to deal with major problems involved with the digital currencies, the E.U. would be now paying attention on the challenge which is to “categorize and classify” crypto assets by the end of this year. Adding further he declared that the organization will think about whether or not existing E.U. financial regulation can be imposed, or if there’s rather a requirement to develop some new rules.
As Dombrovskis stressed, the Commission has already teamed up with other European Authorities so as to develop a supposed “regulatory mapping” of crypto assets to supply a “solid ground” to determine the standing of digital currencies, along with to setup the further necessary required steps in this area.
In his speech Dombrovskis paid special attention to ICO’s, mentioning them as a “viable type of alternate finance,” and stating that ICOs generated around $6 Bln last year. Dombrovskis more emphasised that “this figures are considerably bigger” in 2018.
Concerning alternative issues within this field, Dombrovskis mentioned the foremost risks of crypto, together with “lack of transparency,” protecting investors, market integrity, fraud, and hacking.
In this regard, the Latvian politician advised the necessity to stay observance in the dynamics of the crypto business, stressing the importance of cooperation with international partners at the Financial Stability Board (FSB) and G20.
This summer, the FSB claimed that crypto assets don’t cause any material risk to International Financial Stability, whereas the sphere still wants in-depth observance because of speedy market development.