Supervisors Shape Financial Rules in a Quiet Week of Regulation

This week saw significant financial regulation developments, not through new laws but through actions by supervisors, central banks, and payment schemes. In Europe, the European Securities and Markets Authority (ESMA) proposed stricter rules for influencer marketing, clearer disclosure for staking and lending, and powers to block fraudulent websites under the Markets in Crypto-Assets Regulation (MiCA). ESMA also called for a framework for tokenised securities and on-chain settlement, indicating the crypto rulebook is expanding into capital markets.

The European Central Bank (ECB) continued preparations for the digital euro, with applications open for pilot programs and plans to link its instant-payment platform TIPS to Brazil’s Pix system. Meanwhile, the UK’s Financial Conduct Authority (FCA) opened its authorisation gateway for crypto firms, and HM Treasury’s consultation on modernising payment services regulation closed on 6 October.

In the US, the Treasury set a $10 billion threshold for stablecoin issuers to opt for state oversight, and the SEC proposed rules allowing investment advisers to hold crypto with state trust companies. The Independent Community Bankers of America sued the OCC over national trust charters for crypto firms, highlighting ongoing regulatory tensions. In Asia, Japan approved a stablecoin settlement project for international trade, and Singapore’s MAS consulted on a statutory stablecoin regime.

Brazil’s central bank removed the cap on contactless Pix payments, while Nigeria’s payments industry pushed back on a directive requiring local data storage. In Australia, businesses can no longer surcharge Visa, Mastercard, or eftpos card payments, following a Reserve Bank decision.