ESMA Pushes for Stricter Crypto Regulation in Europe

The European Securities and Markets Authority (ESMA) has called for more powers to help regulate cryptocurrencies in Europe. According to ESMA, national regulators should be given the authority to remove websites for scams or unauthorised crypto companies.

Additionally, ESMA wants to give itself and national regulators the power to require crypto companies to freeze assets when there is reasonable suspicion of financial crime, money-laundering, or terrorist financing. This is because current procedures can be lengthy, allowing suspicious assets to disappear before they are frozen.

ESMA also proposed banning certain misleading marketing techniques and introducing rules for third-party marketing. Furthermore, the watchdog suggested that country-level regulators should have specific powers to combat crypto companies in non-EU countries that actively solicit EU investors without authorisation.