The Council of the EU has approved a bill regulating cryptocurrencies, especially bitcoin.
The final text of the regulation on cryptocurrency markets, known as the MiCA law, has been approved and is set to come into force around the end of 2023.
The”Kryptonutias” Spanish newspaper stated that European diplomats met on Thursday to ratify the full legal document of the legislation with the aim of reaching an agreement, a law that contains 100 points.
The signing of the representatives of the EU member states came after the European Parliament reached a political agreement to regulate crypto-related issuers and service providers.
Edita Hrdá, chair of the Permanent Representatives Committee of the EU Council, was responsible for informing that committee of the European Parliament on the signing of the final text of the law, through a letter he sent to Irene Tinagli, chair of the Parliament’s Economic and Monetary Affairs Committee.
The MiCA law, the development and discussion of which began in 2020, provides for the creation of a registry of exchanges operating in Europe, which must have a license to provide services in that region.
The law also forces these companies to create a database of users who access their platforms, which could compromise the privacy that Bitcoin claims.
This law is criticized by many officials and companies inside and outside the Bitcoin industry who reject the restrictions imposed by this law on mining Bitcoin and other cryptocurrencies.
Although several amendments were made to the text that led to the assumption that no action would be put in place against mining, according to the Spanish newspaper.
It appears that there is still an intention to limit the use of cryptocurrencies mined through Proof of Work (PoW) for the Bitcoin for example.