European regulators have to decide whether they will regulate all ICOs as securities offers or apply an individual approach to them, reports Reuters .
The Chairman of the European Organization of Securities and Markets (ESMA), Stephen Mayyur, speaking before the European Parliament’s economic affairs committee, said that some ICOs are similar to financial instruments that allow certain regulatory requirements to apply to them.
However, regulators continue to analyze how best to handle ICOs that do not fall into this category:
“The next question is: what to do with ICOs that are outside the regulatory universe? We must respond to it collectively. We expect to publish the results by the end of the year , ”he said.
Less than a week ago, ESMA announced that it would allocate over 1 million euros for monitoring cryptocurrency and other activities in the field of financial technologies in the next year. According to the document then published, the purpose of the department is “to achieve a coordinated approach to the regulation of new or innovative financial activities”.
The regulator also said that he intends to develop recommendations for European institutions, market participants and a wide range of consumers in the field of cryptocurrency, but did not provide specifics.