September 27, 2020

European Commissioner proposes to create new rules for the crypto industry

European Commissioner proposes to create new rules for the crypto industry

European Commissioner for Financial Stability Valdis Dombrovskis announced his plans to develop new legislative framework governing the circulation of cryptocurrencies.

During a meeting of the EU Commission, Dombrovskis said:

The EU needs to use a single approach to regulating the circulation of digital assets such as Libra. I am going to propose new legislative measures to solve this problem.

According to Valdis, the EU government shouldto improve mechanisms to combat cyber threats and unfair competition in order to guarantee the financial stability of the region. In his speech, the commissioner drew attention to the cryptocurrency project Libra from Facebook, as members of the European Commission are concerned that the launch of the Libra blockchain will lead to undesirable consequences for the economy.

Last week, European officials sentFacebook and the Libra Association list of digital asset questions. The head of the communications department of the Libra Association, Dante Disparte, said the association favors dialogue with government officials. He believes that this process will contribute to unlocking the economic and social potential of cryptocurrencies.

Dombrovskis wants to use the receivedinformation to decide whether the EU should adopt additional regulations. France favors ban Libra, arguing that the coin jeopardizes the sovereignty of national currencies. Members of the US House of Representatives Committee on Financial Services invited Mark Zuckerberg to speak at a meeting of the agency and talk about his plans to implement the Libra platform. Congressman Sylvia Garcia argues that Zuckerberg must answer questions from lawmakers because Libra is his brainchild. From anonymous sources it became known that Mark was given a term before the end of this year.