TechFlow reported on October 16 that, according to the Financial Times, the European Securities and Markets Authority (ESMA) said on Wednesday that cryptocurrency firms should be required to undergo external audits of their cyber defenses. ESMA urged legislators in Brussels to amend the region's flagship regulatory framework for the crypto industry to better protect consumers. The authority considers stricter cybersecurity rules a crucial component of the Markets in Crypto-Assets (MiCA) regulation, which will fully take effect in December.
ESMA has been pushing for a requirement that crypto companies undergo third-party audits assessing their resilience against cyberattacks, as the agency works to finalize the implementation of rules adopted by EU lawmakers last year. However, the European Commission has opposed this move, claiming that ESMA is overstepping its authority and exceeding the scope of the legislation. Both sides declined to comment.
