Google has renewed the rules on crypto asset advertisements in European countries and announced that it plans to go tighten in practice. This regulation is prepared within the framework of the European Union’s Mica regulation.
Google and Crypto Money Ads
As of April 23, companies that provide crypto asset services on the Google platform will have to be registered or licensed as a CASP within the framework of Mica Editing to publish ads. Advertisers are expected to comply with the local legislation of countries.
Mica arrangement aims to put the crypto asset market in a common legal framework. In this context, strict standards are envisaged on issues such as fighting money laundering and financing of terrorism. Thus, a more consistent supervision in the crypto asset sector is to provide.
Google will give a seven -day period by sending alert to advertisers instead of directly punishing the new application in case of a violation of the new application. At the end of this period, accounts that do not adapt to the conditions are planned to be suspended.
Effects of the regulations on the sector
The new rules include the standards that should be taken into consideration in the regulation adaptation process of the sector after Mica has officially implemented. While it is aimed to create a single set of rule in the crypto asset market, national regulations can bring additional requirements.
In the statements of sector representatives, it was emphasized that the regulation has both advantages and disadvantages.
Hon NG, Bitget’s Law Officer: “The new rule will increase the protection of investors while helping to eliminate unlicensed actors, but it can create additional costs for small initiatives.”
Mattan Erder, Orbs Legal Advisor: “The main purpose of the updates is to protect Google from legal risks and the difficulty of mica or casp certification will determine the real effect.”
Small -scale initiatives are reported to have difficulty in certificate processes with capital requirements ranging from 15,000 to 150,000 euros determined within the scope of Mica. It is thought that this may also affect the innovation processes they maintain in the market.
Google’s previous initiatives had shown themselves with examples of cooperating with different projects in the crypto asset sector.
While the new regulation aims to reduce the legal risks in the sector, it is observed that both large and small -scale actors draw attention to the adaptation process. The application is evaluated by investor protection and the possibility of an impact on the competitive environment in the international market.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
