Concerns Over Stablecoin Regulations
Peter Märkl, the general counsel for Bitcoin Suisse, a leading Swiss cryptocurrency exchange, has raised significant concerns regarding the ambiguity of stablecoin regulations in both the European Union and Switzerland. During an interview with Cointelegraph amidst the German Blockchain Week events, Märkl emphasized the necessity for clearer guidelines regarding the classification and regulatory requirements for stablecoins, particularly under the EU’s Markets in Crypto-Assets Regulation (MiCA).
Regulatory Landscape Challenges
While he acknowledged that MiCA lays out a robust and cohesive regulatory structure for stablecoin issuance, custody, and offerings, he noted that the fast-paced evolution of crypto-assets leads to frequent changes in how these assets are classified.
Märkl pointed out that the current regulatory landscape poses challenges for non-EU stablecoin issuers, who must now seriously consider obtaining a MiCA license. Recent actions by supervisory bodies in Germany indicate a strong enforcement of these rules, which could create competitive disadvantages for foreign participants in the market.
Swiss Regulations Critique
On the Swiss front, Märkl criticized the local regulations which he believes are not conducive for issuers, mainly due to the demanding Know Your Customer (KYC) requirements placed on them. According to him, expecting stablecoin issuers to have detailed knowledge about individual holders is, in his view, an “unreasonable” expectation.
Despite recognizing the DLT Act introduced in Switzerland four years ago as a good legislative initiative, he noted that significant gaps persist in the regulatory framework, especially regarding stablecoins. Märkl stressed the importance of concentrating efforts on establishing regulations that are not overly burdensome and can encourage participation from market players, while also mentioning an ongoing legislative process that remains to be critically evaluated.
Strategic Ambitions and Expansion Plans
In terms of strategic ambitions, Bitcoin Suisse is keen on leveraging its existing five-year-old registration as a Crypto-Asset Service Provider (CASP) in Liechtenstein to pursue a full MiCA license. Märkl highlighted that this step would be a logical progression for the firm, given its established base in Liechtenstein.
Beyond Europe, Bitcoin Suisse is eyeing expansion opportunities in the Middle East, United Kingdom, and United States. The company already received preliminary approval from the Abu Dhabi Global Market (ADGM) earlier this year. Märkl pointed out that the CEO of Bitcoin Suisse, Andrej Majcen, has relocated to Abu Dhabi a year and a half ago, and expressed optimism about the growing allure of the Middle East for business expansion. He confirmed that any future plans for expansion into the UK and the US would hinge on how the regulatory environments in those regions develop.
