MiCA: Insiders assess impact on European crypto market

The German BTC-ECHO has published an Insider Report. Experts from the crypto sector were asked what they think of the Markets in Crypto Asset Regulation (MiCA). These are the results.

The MiCA regulation aims to create a legal framework for crypto services in the European Union. The regulation will take full effect on Jan. 1, 2025. The promise of legal certainty and frameworks are welcomed by experts in the BTC-ECHO Insider Report. For example, 72 percent agree that MiCA regulation is a game changer for the European crypto sector. Only eight percent disagree with this statement.

450 million people, one crypto standard

About 450 million people live in the European Union, a huge market if regulations can be used that are valid everywhere. It is exactly this promise that some insiders see as the big opportunity for the crypto market in the EU.

Jonas Jünger of Binance is optimistic: "MiCA is a huge opportunity for Europe, now it depends on implementation whether we seize this opportunity". ETF expert Jan Altmann of the ETC Group compares it to banking regulation within the EU: "MiCA is to the crypto sector what MiFiD was to banks. Professionalization and standardization. Beneficial for all market participants.."

MiCA: maybe not just winners

Despite this great opportunity, there is also criticism of the MiCA regulation. Many experts see the danger that smaller companies in particular will be overwhelmed by the bureaucratic hurdles.

Although he is generally positive about MiCA, Julian Liniger, CEO of Bitcoin broker Relai, points out that a MiCA license involves a lot of effort and expense that smaller start-ups find hard to afford. Fewer companies and start-ups and thus less innovation.