The European Union's crypto regulation bill, Markets in Crypto Assets (MiCA), which is poised to become law after a few more steps, includes a clause that might affect several crypto influencers.
prosecute crypto influencers with market manipulation if they fail to declare any conflicts of interest.
The Markets in Crypto Assets (MiCA) bill, which was passed by the European Parliament Committee on Economic and Monetary Affairs on October 10, is expected to become law after a few more hurdles.
Patrick Hansen, the director of EU strategy and policy at stablecoin issuer Circle, has been closely watching the bill's passage and called notice to a portion in a Nov. 1 tweet that related to public comments made without sufficient disclosure.
According to the section Hansen emphasized, expressing thoughts on crypto-assets after taking interests in them and failing to disclose that conflict of interest appropriately could be considered market manipulation.
The section is part of the MiCA bill's measures to prohibit insider trading, illegal publication of inside information, and market manipulation involving crypto-assets in order to protect the integrity of crypto-asset markets.
The passage has piqued the interest of the crypto community, as seen by a linked post on Reddit's cryptocurrency forum, with the thread's top comment stating:
“Funding some projects and refusing to accept responsibility for the losses they inflict upon people. It's about time for those influencers to get what they've earned.”
While MiCA is unlikely to be fully implemented until 2024, it is highly expected to pass, with Hansen referring to it as a "sole formality" following the text's finalisation on October 5.
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