With new rules under Regulation (EU) 2023/1114 on Markets in Crypto-Assets (Markets in Crypto-Assets Regulation – MiCA), virtual asset service providers operating in Europe are looking for favorable jurisdictions to establish their EU operations and the opportunity to passport their MiCA license in all EU Member States.
The analysis of the national transitional regimes plays an important role in MiCA transition strategy, along with other factors like national competent authorities’ general approach to crypto-assets and distributed ledger technology (DLT).
Italy has been one of the preferred jurisdictions for crypto companies to establish their European presence because the legal and regulatory framework facilitates creating crypto projects. The Italian government has also introduced an advanced legislation on issuing security tokens. Authorities have also launched regulatory sandboxes dedicated to DLT projects and are open to testing the application of DLT technology to payment and settlement systems.