The European Securities and Markets Authority , the regulatory body responsible for overseeing financial markets in the European Union, has taken another significant step toward regulating the burgeoning cryptocurrency sector.regulations. This 307-page document represents a critical milestone in the EU’s ongoing efforts to bring clarity and structure to the rapidly evolving crypto space.
These areas of focus include sustainability indicators for distributed ledger technologies , disclosures of inside information, technical requirements for white papers, trade transparency measures, and record-keeping standards for crypto-asset service providers .The sustainability indicators proposed by the authority encompass both quantitative metrics and qualitative assessments.
Regarding post-trade transparency, the ESMA outlines requirements for CASPs to report various essential details, including trading and publication timestamps, crypto-asset identification, pricing information, transaction quantity, execution venue, and transaction ID. This comprehensive reporting framework aims to enhance market transparency and investor protection within the crypto sphere.
However, it stipulates that CASPs must have the capability to convert this data into a standardized format upon request from regulatory authorities. This provision accommodates variations in data management while ensuring regulatory access and oversight.