The European Central Bank supports the EU’s efforts to strengthen unified regulation of financial markets, including crypto-asset service providers.

According to Reuters, the European Central Bank (ECB) recently stated its support for the European Commission’s initiative to centralize regulatory authority over systemically important cross-border financial market participants—including crypto-asset service providers, major trading venues, central counterparties, and central securities depositories—from national regulators to the European Securities and Markets Authority (ESMA). This move aims to deepen the integration of EU capital markets and enhance overall competitiveness. The ECB recommends that ESMA’s Board establish a non-voting seat for central banks and emphasizes that ESMA must be granted adequate resources and personnel to effectively assume these new responsibilities. The relevant proposal will undergo negotiations between EU member states and the European Parliament and is expected to take several months before final legislation is adopted.