European Central Bank (ECB) Its President, Christine Lagarde, has called for urgent regulation of cryptocurrencies on the block, citing Russia’s potential use to circumvent recent economic sanctions. Speaking to reporters at an informal meeting of economy and finance ministers on Friday, Lagarde noted that lawmakers must act quickly to regulate the growing asset class.
He also reiterated that the ECB will strictly enforce EU sanctions against Russia over the country’s invasion of Ukraine.
“This would be a regulation and sanction that would apply to supervision by cutting off access to liquidity for targeted banks, mainly to freeze assets and restrict access to finance.”
European Union Postpones Voting on Critical Regulations for Cryptoassets
Lagarde’s comments, European union It comes several times after lawmakers postponed resolutions on crypto-assets regulations and bans on proof-of-work tokens.
The “Markets in Crypto Assets” proposal, or MiCA, forms an important part of a broader digital finance reform package proposed by EU lawmakers. Introduced in 2020, the proposal was adopted by the Council of Europe late last year.
Lawmakers were supposed to vote on its implementation next week.
“The EU Parliament’s #MiCA vote will be canceled at my request and will not be held on February 28. As a reporter, it is very important to me that the MiCA report is not misinterpreted as a de facto #Bitcoin ban. -Stefan Berger, Member of the European Parliament.”
In recent days, speculation continues to rise that he may apply to crypto assets after the latest sanctions against Russia’s leading banks.
Combined with the prevalence of cryptocurrency adoption in Russia and recent regulatory moves trying to recognize the asset class, the country has the potential to become a crypto powerhouse.
Bitcoin mining also continues in the country, thanks to the abundant electricity supply and cold climate.