The banking regulator says tokenisation should not change the regulatory treatment of financial instruments but warns that classification uncertainty is creating challenges as new investment products emerge.
The European Banking Authority has called for greater clarity around the regulatory treatment of tokenised financial instruments as the development of digital assets increasingly blurs the boundaries between traditional securities and crypto-assets. In its response to the European Commission’s targeted consultation on the review of the Markets in Crypto-Assets Regulation (MiCA), the EBA argues that crypto-assets qualifying as financial instruments under MiFID should remain subject to exis