EU Implements Comprehensive Crypto Regulations with MiCA Framework

A study commissioned by the European Parliament recommends that all crypto assets should be treated as securities by default, unless a national regulator says otherwise. The report also suggests that decentralized finance (DeFi) organizations should be granted legal status. The findings come as the EU finalizes its Markets in Crypto Assets (MiCA) regulation and considers whether a sequel will be needed to cover areas like DeFi, staking, and non-fungible tokens (NFTs). The report warns that without changes, MiCA may struggle to have positive short-term effects due to difficulties in enforcing its rules in an opaque cross-border context.