Stablecoin issuer Circle Internet Group added a set of recommendations on Monday for consideration by the EU regarding its market integration proposal.
The update comes after Circle appointed Kirk Koenigsbauer to its board of directors on the risk and compensation committee.
The proposal package was formed in December last year by the European Commission and is focused on reforming the EU’s fragmented financial markets into a single system, citing the lack of competitiveness, undercapitalization of the economy, and its relatively small size as obstacles to future growth.
While regulations for financial markets differ greatly from country to country in Europe, the EU has a legislative framework in place for digital asset companies under MiCA—a piece of legislation formally passed in 2023—which requires cryptocurrency firms to have proper licensing before operating.
Of the proposals submitted, distributed ledger technology and crypto asset service providers took part in the focus, with the EU commission suggesting that barriers be removed to allow for innovation with DLT and that supervision of CASPs be brought under the direct purview of ESMA (European Securities and Markets Authority)
Circle has put the following suggestions forward:
- Improving the DLT pilot regime
- Allowing crypto asset service providers to provide e-money token services
- Reducing friction in administration
- Allowing for better competition in international markets
- Redirecting scrutiny to bad actors in cryptocurrency.
“Circle remains a committed partner in this journey, providing the regulated, programmable infrastructure—including USDC and EURC—to enable the next generation of financial services in Europe,” read the company’s official response.