Issuers of stablecoins should take immediate measures to comply with new European Union crypto regulations that come into effect a year from now, the European Banking Authority said.
The EBA expects issuers of stablecoins — tokens that are pegged to an asset like the US dollar — to have sound governance and effective risk management in addition to proper arrangements for handling redemptions, among other things, the watchdog said in a statement on Wednesday.
Under the EU’s Markets in Cryptoassets (MiCA) regulation, stablecoin operators will be required to hold a license from a national financial regulator in at least one ...
Learn more about Bloomberg Law or Log In to keep reading:
Learn About Bloomberg Law
AI-powered legal analytics, workflow tools and premium legal & business news.
Already a subscriber?
Log in to keep reading or access research tools.