On July 27, José Manuel Campa, president of the European Banking Authority (EBA), said that he was “concerned” that the EBA would not be able to comply with the regulations mandated by the MiCA due to a lack of qualified and specialized cryptocurrency personnel. .

Campa said that the demand for specialized personnel in the area of ​​​​technology and cryptocurrencies in Europe “is in great demand throughout society”, so it has become almost impossible for the EBA to hire personnel specialized enough to meet the requirements of new job offers.

The EBA was created in the wake of the financial crisis to ensure that European banks had enough capital to deal with any economic problems. As the crypto ecosystem grew, part of his duties involved overseeing some stablecoins and cryptocurrencies used in Europe as a means of payment.

EBA is concerned about the dynamic nature of the crypto industry

Campa noted that the agency is concerned about the logistics of planning how to correctly exercise its new powers because, although it is almost 3 years to know exactly which digital currencies the EBA will supervise, many things can change in the crypto ecosystem during that time. due to its dynamic creative nature.

“My concern is more about making sure that the risk that we have identified. . . [in the crypto market] is managed properly. If we don’t do as well as we should, we will have to live with the consequences.”

On the other hand, the EBA official was optimistic about the global macro scenario, noting that a financial crisis in Europe is very unlikely, at least in the “short term”, despite high inflation and contraction. region’s economy as a result. whole.

“We are not in a macro [economic] environment that points to a recession, we are in a macro environment that points to a slowdown in growth. . . I’m not worried that the banks will actually reduce credit.”

MiCA regulations will take effect during 2023

The controversial MiCA establishes several rules for the international regulation of the crypto ecosystem in Europe. It affects cryptocurrency issuers, exchange platforms, and wallets. It mainly focuses on stablecoins and how the cryptosphere can be made more secure and stable.

According to Bruno Le Maire, Minister of the Economy of France, the regulation will put an end to the “crypto Wild West”, where the lack of regulation has facilitated many thefts and scams by people who take advantage of legal loopholes to commit their crimes.

Therefore, the EBA has little time to put together a specialized cryptocurrency team to enforce MiCA, especially since the independent agency does not have the same budget as other cryptocurrency agencies and companies around the world.

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