J 2019

Regulation of Crypto Tokens and Initial Coin Offerings in the EU de lege lata and de lege ferenda

BURILOV, Vlad

Basic information

Original name

Regulation of Crypto Tokens and Initial Coin Offerings in the EU de lege lata and de lege ferenda

Authors

BURILOV, Vlad

Edition

European Journal of Comparative Law and Governance, Leiden, Brill, 2019, 2213-4506

Other information

Language

English

Type of outcome

Článek v odborném periodiku

Confidentiality degree

není předmětem státního či obchodního tajemství

DOI

UT WoS

000641183400003

Keywords in English

EU regulation; financial market; ICO; tokenisation; crypto asset; utility token; security token

Tags

Tags

International impact, Reviewed
Změněno: 9/2/2022 21:13, Mgr. Ing. Filip Hampl, Ph.D., LL.M.

Abstract

V originále

Much like initial public offerings produce publicly traded securities, Initial Coin Offerings (ICOS) produce crypto tokens tradeable on crypto exchanges. Despite an apparent need for investor protection the ICO and the tokenisation phenomenon have yet to be addressed by legislative action on the EU level. The paper studies the suitability of the EU regulatory framework to capture tokenised financial instruments and utility tokens based on the views of the EU supervisory and national competent authorities. It is argued that EU regulators shall first ensure legal certainty by defining the scope of tokenised financial instruments subject to MiFID. Further, authorisation and ongoing requirements shall be adapted to address the risks posed by distributed technology and direct global access of investors to crypto markets. Finally, there is no immediate need for a bespoke EU-wide regime governing utility tokens; fragmentation of the market is a positive development providing a testing field for future supranational initiatives.