The upcoming European parliament is poised to uphold the European Union’s favorable stance towards the cryptocurrency sector. Recently, a significant number of 185 million voters from 27 EU member states participated in the elections to select the new European Parliament. The political landscape in Europe has undergone a transformation with the rise of far-right representation, the strengthening of the European People’s Party (EPP), and the decline of the Greens/European Free Alliance (Greens/EFA).
The EU is faced with the challenging task of navigating the diverse political landscape of the continent, where each sovereign nation has differing opinions on sensitive issues such as the allocation of EU grants, migration policies, climate change, energy transition, and the establishment of a united defense strategy. Despite these complexities, Europe has made efforts to address the needs of the crypto and blockchain industry.
Will the new EU Parliament be supportive of crypto regulations? Industry experts have shared their insights with Cointelegraph to analyze the impact of the recent elections.
The newly elected parliament is seen as a positive development for the crypto sector. The largest and most influential group in the European Parliament, the EPP, holds 189 seats. German MEP Markus Ferber from the EPP stated that the increase of 13 seats in comparison to the previous elections provides stability for the crypto industry. He mentioned that the EPP typically adopts a pragmatic and technology-neutral approach to regulations.
Ferber highlighted that there has been a noticeable shift in the EU Parliament that could result in reduced pressure on the crypto industry. He noted that center-left parties, which previously sought to restrict crypto activities, have lost a significant number of seats. On the other hand, the Greens/EFA group, which has been known for its strict stance on crypto, saw a decrease in seats by 18.
The recent surge in support for far-right parties, especially in economic powerhouses like Germany and France, has led to discussions about snap elections in some countries. However, these parties do not necessarily align with the interests of the crypto industry. While they support economic freedom, their conservative views on financial regulations could lead to stricter measures.
Europe’s position as a global leader in crypto regulation is at stake. Despite the perception that Europe is lagging behind the United States and China in technological advancements, the implementation of unified crypto regulations across EU countries has positioned Europe as a major player in the industry. The creation of the Markets in Crypto-Assets Regulation (MiCA) has made Europe a pioneer in global crypto regulations.
Experts believe that Europe must continue on this path to avoid falling behind in the global tech race. The EU’s high regulatory standards present both opportunities and challenges for the crypto industry, requiring a balanced approach to foster innovation while ensuring compliance.
Investing in education and awareness initiatives is crucial for informing regulators and the public about the potential of blockchain and crypto technologies. By creating incentives for the tokenization of real-world assets and maintaining a supportive regulatory environment, Europe can nurture a thriving crypto industry on the continent.