While EU lawmakers are putting out the new framework for cryptocurrencies, Web3 entrepreneurs are concerned about the radical nature of this regulatory work. But France, the President of the European Council, would ensure the proper development of the cryptoecosystem, we are told by Bercy.
It all starts with healthy ambitions. Like the goal of harmonizing European legislation, which has evolved in an improper way on cryptography in recent years. France, which is at the forefront of this consideration of these new financial applications, knows something about it.
But this legal standardization should ideally not be too restrictive, with the risk of otherwise slowing down or preventing the development of major crypto-players in Europe. This is already the case today, for example with the main trading platforms abroad.
In addition, the digital asset sector in the EU is being tackled on the basis of risk rather than opportunity or innovation. European lawmakers are pursuing a defensive approach and seem to prioritize ways to protect themselves from crypto. At the same time, the regulatory strategy in the UK is flowing into an attractive approach to the crypto ecosystem. While in the United States, President Biden himself has made crypto a specific item on its political agenda.
A Europe that misses the Web3 revolution
It must be acknowledged that the regulatory debates have taken a strange turn lately. The negotiations suddenly accelerated, as if strengthened by Act on digital servicesthe new European regulation that was to bring the network’s giants into line.
Two legislative projects dedicated to cryptocurrencies, MiCA (market) and TFR (transfer of funds), now appear to be progressing rapidly. To the point that the global blockchain ecosystem is concerned about the quality of the regulations that the European institutions will give birth to prematurely.
” Last-minute alarming proposals to MiCA and TFR risk derailing many years of preparatory work and the future of web3 in the EU », issued an emergency warning to about 50 international crypto players in a joint letter sent to European decision-makers.
The short broken letter that Numerama could consult was sent to the 27 EU finance ministers, parliamentarians and 4 EU commissioners.
The authors recall the need to regulate this industry and this new market for bitcoin and other digital assets. But they urge European leaders to adopt an approach that is tailored, characterized and proportionate. Conversely, they insist that the rules will lead to public disclosure of all transactions and addresses on digital asset wallets, putting holders at risk.
” These proposals, if adopted, will make Web3 excessively burdensome for European citizens and will hamper the adoption and development of this nascent but rapidly growing segment of our economy. ”, Motivated the co-signatories, including French leader Ledger or bitcoin investment service provider StackinSat established in Biarritz, just to name a few.
Is France aware of the problems and ready to act accordingly?
The claims of the crypto-business may seem legitimate (limited to Gafi guidelines, exempting decentralized technologies from obligations arising from the traditional financial system). Still, this scream of alarm from future Web3 entrepreneurs needs to be heard.
For the record, it comes back to us that some finance ministers have still not been informed about this famous warning letter. Finance Minister Bruno Le Maire, who was contacted by Numerama, did not respond and did not remove the questions about the room for maneuver he had available and the follow-up he intended to provide.
Nevertheless, Minister Le Maire, like the government and the President, would be fully aware of the problems and ready to take the appropriate action, a source from the DG of the Ministry of Finance suggested to us.
” As President of the European Council, France’s priority is to reach a balanced agreement that protects consumers, regulates the risks of combating money laundering, while guaranteeing the “attractiveness and innovation of the European Union”. “, We were assured by Bercy. ” France will carry out the mandate given to it by the other 26 Member States with a view to reaching a political agreement with Parliament and the Commission before the end of June.. »
France, Europe, must protect without losing competitiveness, to sum up. This techno-political vision would be split up to the highest level in the state. A few days before his re-election, in a review interview with the new French-speaking crypto media The big whaleEmmanuel Marcon defended the need for regulation.
But the president calls for a pragmatic approach by European decision-makers regarding the contributions of crypto, blockchain and other technologies. As he does not believe in the self-regulation of this technology industry, he calls for tackling the real problems, ” not fantasized and implement their potential solutions. A balanced approach promoted by the European Council and inspired by the French surroundings “, Punctured Emmanuel Macron. Hence action.