MiCA or MiFID? Classifying cryptoassets in the EU

Distinguishing between cryptoassets covered by MiCA and financial instruments covered by MiFID II is no easy task. Nicolas Kalokyris analyses the consultation papers issued under the Markets in Crypto-Assets Regulation to elucidate the difficult qualification of cryptoassets as financial instruments, as well as the proposed reverse solicitation guidelines.

Nicolas Kalokyris is assistant lecturer at the Free University of Brussels and lead lawyer in the Financial Services & Fintech department of DLA Piper UK (Brussels), dealing with litigation and regulatory matters. He may be contacted at nicolas.kalokyris@dlapiper.com.

In June 2023, Regulation (EU) 2023/1114 of 31 May 2023 on markets in cryptoassets [1] (the 'Markets in Crypto-Assets Regulation' or 'MiCA'), the landmark European cryptoassets regulation was finally published in the European Official Journal. MiCA introduces a dedicated and harmonised comprehensive framework for markets in cryptoassets at European Union level in order to provide specific rules for cryptoassets and related services and activities. It will regulate the issuance of cryptoassets as well as the provision of cryptoasset services.