The European Central Bank supports the European Union in strengthening unified regulation of crypto asset service providers and other financial markets.

Deep Tide TechFlow News. On April 10, Reuters reported that the European Central Bank recently said it supports the European Commission’s efforts to transfer regulatory authority over systemically important cross-border financial market participants—such as crypto asset service providers, major trading venues, central counterparties, and central securities depositories—from regulators in each country to the European Securities and Markets Authority (European Securities and Markets Authority, ESMA). The measure is intended to deepen the integration of the EU capital markets and enhance overall competitiveness. The European Central Bank advises that the ESMA Board of Directors establish a central bank seat without voting rights, and it emphasizes that ESMA must be provided with sufficient resources and personnel to successfully assume its newly added responsibilities. The related proposal will be negotiated between EU member states and the European Parliament, and it is expected that it will take several months to complete final legislation.