As the crypto market seems to be prone to hacks and attacks, European Union (EU) lawmakers showed support for stronger cyber protection for crypto. The lawmakers jointly agreed on having cybersecurity rules for crypto providers and other financial firms in a 612-18 vote.
The vote formalized a deal between the European Parliament and EU member governments in May. Also, it applies to crypto companies including wallet providers who are set to be regulated under the bloc’s Markets in Crypto Assets Regulation (MiCA). These two laws were originally proposed as a package.
European Commissioner Mairead McGuinness said the Digital Operational Resilience Act (Dora) is a cornerstone of our work on digital finance in the EU, making sure to support innovation and do it in a safe way. In a Wednesday night debate on the law, McGuinness also stated that protecting the financial system from cyber attacks and cyber fraud is vital.
Financial institutions will also be responsible to monitor and report major cyber incidents and testing defenses. Moreover, the big tech firms that are offering them services must submit to supervisory oversight.
Centrist French lawmaker Stéphanie Yon-Courtin said, “After the vote on the cryptocurrency legal act and blockchain, this is one more step towards Europe’s digital sovereignty”.
This will not only protect European investors but also prepare enterprises against cyber attacks.
Also Read: UK Lawmakers to hold an Inquiry into NFT Regulation
