site.btaCabinet Approves Cryptocurrency Market Bill

The Bulgarian government announced approving Wednesday a bill on cryptocurrency markets. The bill introduces measures to implement European Union regulations concerning the markets for crypto assets, including Regulation (EU) 2023/1114, Regulation (EU) 2023/1113, and Regulation (EU) 2022/2554, as well as Directive (EU) 2022/2556 regarding the operational resilience of digital technologies in the financial sector.

Currently, Bulgaria lacks a national legislation for the operation of cryptocurrency markets, which are not classified as financial instruments, beyond the requirements set for anti-money laundering and counter-terrorism financing measures. These include the registration of entities engaged in certain virtual currency activities, as outlined in Article 9a of the Measures Against Money Laundering Act.

Under the new bill, the Financial Supervision Commission will be designated as the national competent authority responsible for regulating and overseeing the activities of cryptocurrency service providers, token issuers backed by assets, and issuers of cryptocurrency, other than asset-backed tokens or e-money tokens.

The proposed legislation aims to establish a clear regulatory environment for crypto asset markets, aligning Bulgaria with EU-wide regulations while enhancing oversight and security within the growing digital financial sector, the government press office said.