Europe’s MiCA Crypto Rules Are Coming Soon. Here’s Why They Matter

Posted on by American Coins & Gold

Europe’s MiCA Crypto Rules Are Coming Soon. Here’s Why They Matter
It’s often said that financial regulators are always fighting the last war. The European Union’s soon-to-be-ratified package of cryptocurrency regulations offers a telling example.The Markets in Crypto-Assets (MiCA) framework devotes a full 26 of its 168 pages to a subcategory it calls “asset-referenced tokens.” These are a type of stablecoin, or cryptocurrency designed to hold its value, but unlike dollar-pegged stablecoins such as USD coin (USDC) or tether (USDT), asset-referenced tokens are backed by a basket of different fiat currencies, commodities or crypto assets. The most famous example has not been issued, and likely won’t be anytime soon.That coin, of…