European Central Bank (ECB) President Christine Lagarde told the European Parliament that broader cryptocurrency regulation beyond MiCA is needed following the bankruptcy of global cryptoasset platform FTX.
The ECB chief reiterated her past call for more legislation on cryptocurrencies, with parliament on the verge of passing regulation of crypto asset markets. "There will have to be a MiCA II as part of a bid to embrace more supervision of crypto. Europe aims to be a leader in that respect."
Expected to come into force in 2024, MiCA will cover some parts of cryptocurrencies and service providers.
Lagarde also said that a European Central Bank digital currency would provide EU citizens with alternative digital payment options. "We have to be able to offer that, otherwise somebody else will take that place" Lagarde said.
