The European Central Bank (ECB) has included Bitcoin, other cryptocurrencies and stablecoins in a new expanded regulatory framework for electronic payments.
The ECB announced a change in the system of supervision of electronic payments. The oversight framework for electronic payment instruments, schemes and arrangements (PISA) is aimed at companies that enable and support electronic money transfers, payment cards, and other aspects of the electronic payments sector. According to the PISA framework, payments in cryptocurrencies and stablecoins will also be regulated.
“The PISA framework will also cover crypto-asset-related services, such as the acceptance of crypto-assets by merchants within a card payment scheme and the option to send, receive or pay with crypto-assets via an electronic wallet,” the press release says.
According to Fabio Panetta, a member of the ECB Executive Board, the changes were necessary to solve the global issues of the stablecoin market. “The PISA framework will include digital payment tokens such as stablecoins, alongside traditional payment instruments and schemes we have gained experience in over the years. Internationally coordinated action will also have to be stepped up to cope with the challenges posed by global digital payment solutions and stablecoins,” Panetta said.
The press release also says that the companies under the supervision of the Eurosystem have until 15th November 15 2022 to adhere to the new PISA framework.
Other companies will have a year grace period since the notification of becoming subject to oversight to comply with the updated framework. All these companies will have to submit self-assessments and supporting documentation to the overseer. The ECB statement also said that the new PISA structure complements the EU crypto rules to come.
This May, the ECB considered that cryptocurrencies pose only limited risks for financial institutions. It noted the growing interest in crypto not only from both small and institutional investors and non-financial corporations.
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