What Is the Significance of the EU’s MiCA Regulation regarding Market Abuse on Crypto Exchanges?
The Markets in Crypto-Assets (MiCA) regulation provides a harmonized legal framework for crypto-asset activities within the European Union. Its significance lies in extending traditional financial market abuse rules, including those against front-running and insider dealing, to Crypto-Asset Service Providers (CASPs), which include crypto exchanges.
MiCA mandates that CASPs implement systems and controls to prevent, detect, and report market abuse, bringing a new level of regulatory scrutiny and compliance obligation to the crypto space in the EU.