MiCA (Markets In Crypto Assets) Dissected - Part 2
MiCA, the European Union's Markets in Crypto-Assets Regulation, applies to natural and legal persons engaged in issuance, offer to the public, and admission to trading of crypto-assets, or that provide services related to crypto-assets in the EU. The regulation does not apply to entities and persons that provide crypto-asset services for their parent companies and subsidiaries, national central banks of the EU member states when acting as a monetary authority, or public international organizations. Non-EU firms providing crypto-asset services to EU clients must obtain authorization in the EU. MiCA defines crypto-assets as a digital representation of a value or right that can be transferred electronically, and classifies them into three categories based on risks. CASPs must meet specific requirements based on the type of service they offer and the risks associated with each.