'Crypto Assets Are Here to Stay,' Says EU Commission Vice President

The European Commission will conclude a regulatory assessment of crypto assets this year, because "they are here to stay," says an official.

AccessTimeIconSep 10, 2018 at 12:00 p.m. UTC
Updated Sep 13, 2021 at 8:22 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

The European Commission, the executive body that proposes legislation for the EU, will this year conclude a regulatory assessment for the governance of crypto assets, because they are "here to stay," a high-level has official said.

Speaking at a press conference after a meeting of the Economic and Financial Affairs Council last Friday, Valdis Dombrovskis, vice president of the European Commission, said member states are supportive of moves to chart regulations governing the cryptocurrency industry in the economic region.

Dombrovskis said:

"We also had a good exchange of views on crypto-assets. We see that crypto-assets are here to stay. Despite the recent turbulence, this market continues to grow."

Further, he suggested that initial coin offerings (ICOs) have the potential to become a viable form of alternative financing. "Already last year, ICOs helped raise over $6 billion in funding and this year this figure will be substantially bigger," he said.

To make the most of this potential, Dombrovskis said the challenge right now is how to "categorize and classify" crypto assets and whether the EU should use existing financial market rules or create a set of dedicated regulations for cryptocurrencies.

"In this context, we are currently working together with European Supervisory Authorities on what we call regulatory mapping of crypto assets to answer exactly these questions," he said. "This will provide a solid ground to build on and to decide on further steps in this area."

Dombrovskis has previously made positive remarks on ICOs as an innovative fundraising method, as reported by CoinDesk in February. He indicated at the time that regulators would take more of a case-by-case approach to govern specific token projects, although he conceded more work would need to be done by the commission.

And he isn't the lone ICO-friendly lawmaker in the EU. Last Friday, a Member of the European Parliament suggested a new rule governing ICOs that would place an upper cap on token sale proceeds, but would also make eligible projects accessible across EU member states.

EU flag image via Shutterstock

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.