In recent times, trades in the crypto markets are carried out from the investment tips and guidance of social media influencers. But as per the recent MiCA bill, these influencer works will be considered market manipulation crimes if they are not able to showcase the investment’s profit or loss proofs as a process of disclosing the efforts from the trade assets.
What is EU’s MiCA bill?
The Markets in Crypto Assets bill also termed as the MiCA bill, the bill has been already finalized in September this year, along with it the process of its first approval in the legislation has been also completed with the voting favors of 28 to 1, the bill is just awaiting its final approval in the European Union legislation.
The bill will penalize the crypto influencers if they can make any profits or the actions resulting in profits from their influence commenting on social media platforms without any previous disclosure to the authorities. The bill is still in the process of legislation and is seen as good news in the crypto community as a measure of transparency.
As per some excerpts, The sections in the bill are not completed unbiased as of now, such as some memes like Elon musk’s dodge coin tweet will be penalized but some activities like it won’t come under regulation, this makes the sections of the bill questionable as of now for the process of regulation.
The monitoring authority for all this process hasn’t been disclosed specify as of now in the bill but this bill will result in harder regulations on the influential profits from the crypto trades.
What all crypto assets will be covered under MiCA bill?
The bill covers all the major crypto tips or referrals or guidance roadmaps etc processes regulations from the influencers in the crypto markets. The crypto assets like the stablecoins along with the cryptomining assets like the non-fungible tokens along with the money laundering process.
The bill also processes some specific clauses for the influencers as the related rules in the further crypto trades. The bill also covers decentralized financing measures and regulatory measures. The rules from this bill will also keep its surveillance on the crypto asset service providers also called CASPs.
In this measure, the bill will be able to work upon the measures of the exchange regulations and the broker’s malicious fraudulent practices. The bill has been regulating crypto assets under three different categories. These different categories will be based on the value of the tokens of that cryptocurrency concerning the other assets.