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The European Union was one of the first regions globally to introduce a comprehensive package of regulations for the crypto space for developers and investors.&nbsp;
The European Union’s <a data-ct-non-breakable="null" href="https://cointelegraph.com/learn/markets-in-crypto-assets-regulation-mica" rel="" target="_self" text="null" title="https://cointelegraph.com/learn/markets-in-crypto-assets-regulation-mica">Markets in Crypto-Assets Regulation (MiCA</a>) came into effect in June 2023. Since then, the EU’s 27 member states have been actively working on their separate approaches to implementing the rules.&nbsp;
At the Association for Financial Markets in Europe’s (AFME) annual European Compliance and Legal Conference on Sept. 23, Derville Rowland, deputy governor of the Central Bank of Ireland,&nbsp;<a data-ct-non-breakable="null" href="https://www.centralbank.ie/news/article/speech-change-and-challenges-responding-to-uncertainty-transforming-for-the-future-and-driving-innovation-derville-rowland-23-september-2024" rel="null" target="null" text="null" title="null">stressed</a>&nbsp;that the country is also seeking to stay at the forefront of safe innovation through MiCA.&nbsp;
<h2 id="ireland-s-mica-outlook">Ireland’s MiCA outlook</h2>
Rowland called blockchain-based technologies one of the “most notable” innovations in financial services in recent years.&nbsp;
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 <img alt="Ireland eyes MiCA guardrails to democratize finance with crypto" name="" src="https://s3.cointelegraph.com/uploads/2024-09/019222ed-6718-73af-8ca9-5bec8c5e6c36">
 <figcaption style="text-align: center;">
 Derville Rowland, the deputy governor at the Central Bank of Ireland. Source: Central Bank of Ireland
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</figure>
She said there are “positive stories to tell” about blockchain already impacting various sectors, whether through investment product tokenization, post-trade infrastructure improvements or interoperability.&nbsp;
According to Rowland, <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/eu-s-new-crypto-law-how-mica-can-make-europe-a-digital-asset-hub" rel="" target="_self" text="null" title="https://cointelegraph.com/news/eu-s-new-crypto-law-how-mica-can-make-europe-a-digital-asset-hub">MiCA is an important step for Europe</a> to become a global leader in adapting and adopting these new technologies. It gives local institutions the guidelines to “build financial inclusivity” and “democratize finance.”
For the first time, MiCA will introduce <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/mica-laws-crypto-europe-impact" rel="null" target="null" text="null" title="null">a harmonized regulatory framework</a> for the sector, with prudential and conduct obligations for issuers of e-money tokens, asset-referenced tokens and crypto-asset service providers. 
There are also obligations for offers to the public of crypto-assets other than asset-referenced tokens or e-money tokens.
<blockquote>
 “Innovation has brought in new entrants, new products and new ways of serving customers and the economy. As a result, technological innovation continues to be a focus for the central bank.”
</blockquote>
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/eu-mica-implementation-pivotal-moment-crypto" rel="null" target="null" text="null" title="null">EU MiCA implementation a ‘pivotal moment’ for crypto regulations — Compliance exec</a>
Rowland said she has two priorities when it comes to MiCA implementation in Ireland. The first is to work clearly with other EU member states and the European Supervisory Authorities (ESAs) to ensure the necessary coordination and consistency across Europe:&nbsp;
<blockquote>
 “The ESAs are, correctly, focused on driving a convergent approach to the implementation of MiCAR in national authorities authorization and supervision processes. MiCAR, being a first attempt at regulation in this area, is an important opportunity to avoid divergent approaches emerging in different jurisdictions.”
</blockquote>
The second is to improve the authorization process via industry engagement to better explain the central bank’s expectations to those looking to comply with regulations. She said the central bank has already seen “better risk assessment, better communication and better supervisory” as outcomes of this focus.&nbsp;
<h2 id="europe-s-collective-efforts">Europe’s collective efforts</h2>
Rowland said that leaders in Europe must not lose sight of creating “financial stability and the resilience of the financial sector” to cement sustainable economic growth and promote competitiveness:
<blockquote>
 “Europe must refocus its collective efforts on closing the innovation gap with the United States and China, especially in advanced technologies.”
</blockquote>
EU Member states have been busy laying the groundwork to help businesses comply with MiCA in their own countries.&nbsp;
In October 2023, Spain announced that it planned to begin <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/spain-implement-mica-six-months-before-july-2026-deadline" rel="null" target="null" text="null" title="https://cointelegraph.com/news/spain-implement-mica-six-months-before-july-2026-deadline">implementing MiCA six months </a><a data-ct-non-breakable="null" href="https://cointelegraph.com/news/spain-implement-mica-six-months-before-july-2026-deadline" rel="null" target="null" text="null" title="null">before</a>&nbsp;the July 2026 deadline. It said that the EU’s crypto rules would come into force in the country starting from December 2025.
The Central Bank of Latvia opened pre-licensing consultations to crypto companies as its own proactive step to align with the crypto regulations by offering <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/latvia-mica-pre-licensing-crypto" rel="null" target="null" text="null" title="null">free pre-licensing consultations</a> for crypto-asset service providers.
<a data-ct-non-breakable="null" href="https://cointelegraph.com/magazine/crypto-is-used-for-payments-in-georgia-not-to-get-rich-tbilisi-crypto-city-guide/" rel="null" target="null" text="null" title="null">Tbilisi Crypto City Guide: Crypto is used for payments in Georgia, not to get rich</a>

Ireland eyes MiCA guardrails to democratize finance with crypto

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