The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, publishes two Consultations Papers on guidelines under Markets in Crypto Assets Regulation (MiCA), one on reverse solicitation and one on the classification of crypto-assets as financial instruments.
ESMA invites comments from stakeholders by 29 April 2024.
Consultation paper on guidelines on reverse solicitation
In this consultation, ESMA is seeking input on proposed guidance relating to the conditions of application of the reverse solicitation exemption and the supervision practices that National Competent Authorities (NCAs) may take to prevent its circumvention. The proposed guidance confirms ESMA’s previous message that the provision of crypto-asset services by a third-country firm is limited under MiCA to cases where the client is the exclusive initiator of the service. This exemption should be understood as very narrowly framed and must be regarded as the exception. A firm cannot use it to bypass MiCA.
Consultation paper on guidelines on conditions and criteria for the classification of crypto-assets as financial instruments
In this consultation paper, ESMA is seeking input on establishing clear conditions and criteria for the qualification of crypto-assets as financial instruments. This initiative, which follow on from previous work by ESMA, is aimed at bridging the MiCA regulation and the Markets in Financial Instruments Directive II (MiFID II) and ensuring consistency across the EU. The proposed guidelines aim at providing NCAs and market participants with structured but flexible conditions and criteria to determine whether a crypto-asset can be classified as a financial instrument. To do so, the draft strikes a balance between providing guidance and avoiding establishing a one-size-fits-all approach. Once finalised, these guidelines will provide much-needed clarity and contribute to the global standards in crypto-asset regulation.
Next Steps
The consultation closes on 29 of April 2024. ESMA will consider the feedback it receives to the consultation in Q2 2024 and expects to publish a final report in Q4 2024.Source: ESMA
NEWSLETTER SIGN UP
And receive exclusive articles on securities markets
Celebrating women shaping European finance
European Women in Finance Awards deadline is Aug 23
#WomeninFinance #Finance #WIF
Nominate here: https://www.jotform.com/form/250276204100339
"Modernizing isn't just upgrading—it's reshaping how we deliver client value" - @Wedbush's Rodrigo Parrode
As Cboe Data Vantage scales globally, Adam Inzirillo discusses our APAC expansion, plans to launch dedicated cores in Canada and preparation for 24×5 U.S. equities trading, pending regulatory approval – full story in @marketsmedia: https://bit.ly/4kQx3mC
As Technology Evolves, Asset Managers Adapt and Innovate
Related articles
-
Marex will join GFO-X as a participant & join LCH SA’s DigitalAssetClear as a clearing member.
-
The SEC approval aligns with the standard practices for similar ETPs.
-
Chalom led the launch of the iShares Ethereum Trust, the largest Ethereum ETP with over $10bn in assets.
-
The venue focuses on institutional-grade infrastructure and capital efficiency.
-
These contracts dominate 90% of global crypto trading volumes.
We're Enhancing Your Experience with Smart Technology
We've updated our Terms & Conditions and Privacy Policy to introduce AI tools that will personalize your content, improve our market analysis, and deliver more relevant insights.These changes take effect on Aug 25, 2025.
Your data remains protected—we're simply using smart technology to serve you better. [Review Full Terms] | [Review Privacy Policy] By continuing to use our services after Aug 25, 2025, you agree to these updates.
