EU Parliament Committee Urges Review of DeFi, NFT Rules
The European Parliament’s Economic Affairs Committee has urged the European Commission to evaluate whether crypto lending and borrowing, staking, non-fungible tokens and decentralized finance should face new regulatory oversight, according to Cointelegraph.
The recommendations appear in a nonbinding report advanced Friday for a full plenary vote expected July 6. Drafted by Belgian lawmaker Johan Van Overtveldt, the own-initiative resolution from the Committee on Economic and Monetary Affairs sets out Parliament’s position on digital asset policy. If adopted, it would not amend the EU’s Markets in Crypto-Assets Regulation or create binding legal obligations, Cointelegraph reported.
Beyond flagging NFTs and DeFi for potential regulation, the report calls for promoting tokenization across financial services and encouraging development of euro-denominated stablecoins under MiCA. It also urges consistent enforcement of MiCA across member states and warns against national rules that could fragment the EU’s digital asset market, per the report cited by Cointelegraph.
The stance marks a shift for Van Overtveldt, who in 2023 called for tighter crypto restrictions and compared cryptocurrencies to drugs amid the banking turmoil involving Silicon Valley Bank and Circle’s USDC stablecoin, Cointelegraph noted.
The committee’s push aligns with a broader European Commission review already underway. In May, the Commission opened a public consultation on whether MiCA should be expanded to cover DeFi, staking, lending, NFTs and tokenized financial assets, and whether to revisit its ban on interest-bearing stablecoins, according to the report.
The developments come as MiCA’s transitional period ends July 1, after which crypto asset service providers must generally hold authorization to operate across the EU, Cointelegraph reported.
Based on reporting by cointelegraph.com.
