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Report: New EU Regulations Will Require Banks To Disclose Bitcoin Holdings

Press Releases Crypto News Bitcoinist Report: New EU Regulations Will Require Banks To Disclose Bitcoin Holdings

The European Union (EU) is making significant progress in the reform of its banking regulations, with a particular focus on bitcoin (BTC) and cryptocurrencies. The EU is now mandating that banks publicly disclose their holdings of crypto assets. This move aims to address the potential risks associated with these assets.

Mandatory Disclosure Of Cryptocurrency Holdings For European Banks

During a meeting among the negotiators of the European Parliament, the Commission, and the Council of the European Union, it was agreed that banks would be obligated to disclose their cryptocurrency holdings. The European entities have recognized the need to bring transparency to the banking sector regarding crypto assets. Consequently, the Commission of the European Union will be required to introduce a bill that specifically addresses the mandatory declaration of cryptocurrency holdings for banks operating within the 27 countries of the EU.

In addition to the disclosure of holdings, European entities have also introduced a capital requirement for crypto assets. This means that EU banks must maintain certain cryptocurrencies in their portfolios until the EU Commission presents a specific legislative proposal. This requirement aims to ensure that banks are adequately prepared to handle crypto assets while mitigating associated risks.

The proposed regulations for the banking sector align with similar requirements expected to be imposed on companies within the cryptocurrency ecosystem. Exchanges, brokers, and other platforms that engage with cryptocurrencies must also disclose their holdings. This move aims to create a consistent regulatory framework for the entire industry.

The proposed bill, which mandates the disclosure of cryptocurrency holdings by banks, is expected to be integrated

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Author: Olowoporoku Adeniyi

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