As part of the broader Digital Finance Strategy package, in late September, the European Commission published a new draft regulation on markets in crypto-assets (MiCA). Once formally adopted in the EU, the proposed legislation aims to achieve a harmonious path forward for regulating crypto-assets in the financial sector.
Title VI of the proposal focuses on the prevention of market manipulation, the prohibition of insider dealings, unlawful disclosure of inside information and market manipulation related to crypto-assets. Should a provider detect any signs of market abuse, they must report the suspicious activity to the authorities.
ViP: In addition to comprehensive procedures addressing anti-money laundering and transaction monitoring, the Validus platform casts a wide net by providing tools and reporting capabilities pertaining to the various market manipulation behaviors outlined within Title VI of the proposal.