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EU regulator to discuss inclusion of crypto assets in UCITS funds worth €12 trillion

EU regulator to discuss inclusion of crypto assets in UCITS funds worth €12 trillion

May, 09 2024 22:38
EU regulator to discuss inclusion of crypto assets in UCITS funds worth €12 trillion

The European Securities and Markets Authority (ESMA) is seeking stakeholders' feedback on whether digital assets should be included in UCITS funds. 

As per the EFAMA report for 2023, the total volume of this area reached €12 trillion.

During the ongoing discussions, which will continue until 7 August, ESMA is keen to gain your insights on the potential risks and benefits associated with integrating this new asset class, ensuring you are fully informed. 

However, specific cryptocurrencies must comply with the UCITS Eligible Asset Directive to be included in the list of funds. 

Industry experts believe that expanding crypto assets in Europe to UCITS will be a significant step that could change the rules of the game.

In May 2023, the Council of the European Union unanimously passed a bill that aims to regulate the crypto-asset market. This significant legislation requires companies operating in the EU to obtain a license and stablecoin issuers to have reserve collateral, providing a robust regulatory framework for the industry.