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The 5 most important regulatory developments for crypto in 2022

The 5 most important regulatory developments for crypto in 2022

2022 will surely be remembered as a year of crypto discontent — one when the price of Bitcoin crashed three times, many large companies went bankrupt and the industry experienced a series of significant lay-offs. However, it was a crucial year for crypto regulation worldwide. Although some regulatory developments are worrisome in terms of their tighter stance on digital assets, their effect could help the industry to mature in the long run.

Looking at the significant regulatory events of 2022 might fuel one’s optimism for the future. The controversial policy to restrict proof-of-work (PoW) mining was supported in New York, but a similar one failed in the European Union. In some jurisdictions, like Brazil and Russia, crypto is undoubtedly gaining momentum.

Of course, there were many more landmarks to remember, but Cointelegraph tried to choose those representing larger regional trends.

The Markets in Crypto-Assets bill

It is fair to put the European Markets in Crypto Assets bill in the first spot because it has passed all the voting stages in the European Parliament and should become law in 2024. The comprehensive crypto framework was first proposed by the European Commission in September 2020 and has been making its way through the various stages of deliberations ever since. Some in the industry, like Binance CEO Changpeng Zhao, expect it to become a regulatory standard copied worldwide.

The bill includes a transparent licensing regime, with the European Securities and Markets Authority designated as the responsible body. Provisions include strit riteria for stablecoin operators and higher legal responsibility for crypto influencers. Positively, a proposed amendment to the bill that would have effectively banned PoW mining and the incomprehensible 200 million euro ($212 million) cap for daily stablecoin transactions did not make it to the final draft. The bill represents a moderate approach, with an understandable emphasis on investor protection.

Also read: The United Kingdom’s plan to regulate crypto and the possible end of a favorable regime for crypto licensing in France.

Lummis-Gillibrand vs. Warren-Marshall

Unlike the European Union, in the United States, the race toward comprehensive legislation has just begun this year. The good news is that there are plenty of contenders.

A joint draft by Senators Cynthia Lummis and Kirsten Gillibrand opened the competition in June. The highly anticipated Responsible Financial Innovation Act (RFIA) contains a…

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