Markets in Crypto-Assets Regulation
The Markets in Crypto Assets Regulation (MiCAR) is the first package of European legislation that has been enacted to regulate cryptocurrencies and related services. This legislation applies to both issuers of crypto assets and providers of crypto services and harmonises rules within the EU.
Objectives
MiCAR has four interrelated objectives. The first objective is to provide legal certainty. If the markets for crypto assets in the EU are to develop, there has to be a robust legal framework that clearly states how crypto assets are dealt with in legislation and regulations.
The second objective is to support innovation. To encourage the development of crypto assets and wider use of distributed ledger technology (DLT), there needs to be a secure and proportionate framework to promote innovation and fair competition.
The third objective is to ensure the required level of consumer and investor protection and market integrity. This is needed because crypto assets not covered by the current financial services legislation give rise to many of the same risks as more familiar financial instruments.
The fourth objective is to safeguard financial stability. Crypto assets are continuously evolving. Some are relatively limited in scope and use, while others, such as the new category of stablecoins, have the potential to become widely accepted and possibly systemically relevant. MiCAR includes safeguards against risks to financial stability and a controlled monetary policy that may arise from the use of stablecoins.
Implementation
The MiCAR regulation was published in June 2023. The Ministry of Finance is currently working on its implementation. To this end, it has initiated a consultation for crypto service providers and crypto-asset issuers. The AFM will further detail its preparations for the supervision of MiCAR – including with regard to the granting of licences – on this basis. We will be happy to engage in discussions with crypto-asset service providers that are considering applying for a licence in the Netherlands. More information on this will be published on this page.
Crypto-asset service providers considering applying for a MiCAR licence in the Netherlands can register now at crypto@afm.nl.
A general timeline for MiCAR implementation in the Netherlands is shown below. More information on the issuance of tokens will be published on our website at a later stage.
MiCAR authorisation procedures and pre-scan