The European Parliament has overwhelmingly backed new regulations governing the trading of cryptocurrency. They are due to come into effect from July of next year. The new measures seek to ensure that crypto assets can be traced, preventing money laundering, terrorist financing, and other crimes. Major crypto service providers, which are often responsible for a high carbon footprint, will also have to disclose their energy consumption. Those facilitating the trading of the currency will also be required to register with an oversight body. The European Parliament approved the regulations, with 517 votes in favour, 38 against and 18 abstentions. Some MEPs are of the view that cryptocurrencies are still in their infancy, with doubts over their long-term future. Nevertheless, the European Union is seeking to regulate crypto markets, one of the first legislative bodies to do it. When the Health Service Executive was hacked in 2021, those behind it demanded a crypto currency ransom. There is also a climate element, where service providers would have to disclose their energy consumption. European Commissioner for Financial Services Mairead McGuinness said it will allow the sector to evolve in a safer environment.
Full story : Cryptocurrency regulations approved in EU parliament.
