Governments around the world are in a race to determine how best to regulate stablecoins and digital assets. Gilbert Verdian, our Founder and CEO, spoke on the impact of the EU’s new Markets in Crypto Assets regulations with AltFi’s Daniel Lanyon.
With the new MiCA regulations, there are enormous issues at stake. Regulators want to create dynamic economies that lead the way for fintech growth and innovation, consumer protections, and the ability to maintain monetary sovereignty. In a new article by AltFi editorial director Daniel Lanyon entitled “In the bleak mid-Crypto Winter, a regulatory thaw begins,” Quant’s Founder and CEO, Gilbert Verdian, provided insight into how and why these new regulations are taking shape.
Modernising financial services
Gilbert said that “blockchain will profoundly impact financial services – especially in asset management via the tokenisation of funds, capital markets, and perhaps most importantly, in payments and money movement.”
This emerging technology can substantially lower costs by reducing the need for counterparties and complex processes, enabling new business and revenue opportunities.”
The impact of MiCA
He added that, “tighter regulations like MiCA should be welcomed, as these provide the guide rails for how stablecoins and other digital assets can operate. It’s important not just from an operational perspective but reputationally as well. Many of our customers have told us that clearer rules and guidelines around stablecoin-backing and ESG will spur more business cases to drive investment and adoption.”
The regulation, he says, also balances the need for central banks to mitigate systemic economic risks against the need for new commercial stablecoin development and innovation.
There are less onerous obligations for smaller stablecoins; NFTs are out of scope. The EU is creating an environment which encourages the development of blockchain use cases while maintaining monetary sovereignty and control.”