EU Regulators Struggle With Crypto Markets
Some studies indicate that the regulators are experiencing hardships with the nature of crypto markets, which has especially hit EU.
The international challenge
A recent study requested by the European Parliament Committee on Economic and Monetary Affairs has indicated that the regulators are challenged to implement appropriate measures for international cryptocurrency markets.
The research suggests, that the main problem attributed to this phenomena, is the mining process. Mining is the main driving aspect of crypto-backed technology propagation, which is essential for the cryptocurrency market. The challenge arises due to the international concentration of miners, a big part of them being outside the EU.
G20 talk about financial stability
G20 held meetings from 21 to 22 July in Argentina to discuss challenges over the global economy. Their talks involved topics about weak growth, international imbalances, and financial vulnerabilities. In these contexts, also the crypto-assets were mentioned.
As usual, the crypto discussions posed the same questions about tax evasion, financial instability, and money laundering.
A new AML crypto standard
G20 asked the Financial Action Task Force about how the AML standards against misuse of the crypto-assets can be applied. The Financial Stability Board provided on their turn updates about the dangers of crypto-assets.
The Financial Stability board responded similarly as in the previous G20’s meeting in March highlighting, that the crypto assets don’t pose any danger for the global economy. There weren’t any unified decisions regarding the issues, however, G20 asked the Financial Action Task Force to give a response by October on how their AML standards can be applied to the crypto-assets.