Christine Lagarde proposed to accelerate the adoption of a law on the regulation of cryptocurrencies in the EU

This announcement was made by the head of the ECB in light of the escalation of the conflict between Russia and Ukraine

28.02.2022 - 09:30

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What’s new? European Central Bank (ECB) President Christine Lagarde said it was “important” that the law on Markets in Crypto-Assets (MiCA) be approved as soon as possible. Lagarde made the announcement in light of the escalating conflict between Russia and Ukraine. According to her, the lack of a regulatory framework reduces the effectiveness of recently adopted sanctions against Moscow.

Material on the Bloomberg website

What is known about the law? It took several years for the document to be created, and the vote on its approval was supposed to take place on February 28. However, on February 26, it was postponed indefinitely.

This decision was made against the background of criticism of a number of formulations of the bill. The fact is that, as Lagarde noted, they can overly restrict or even prohibit the energy-intensive Proof-of-Work (PoW) consensus algorithm, which also ensures the security of BTC.

The head of the ECB also added that a secure regulatory framework is necessary to curb illegal activities with cryptocurrencies.

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