SINGAPORE, March 18, 2025 /PRNewswire/ — HTX, a number one crypto change, has been ranked because the “High 3 Exchanges for EUR-Stablecoin Buying and selling Exercise” in a current CoinDesk report titled “MiCAR: The Institutional Playbook for Europe’s Digital Asset Market“. The report explores key developments shaping the European digital asset market with the implementation of Markets in Crypto-Belongings Regulation (MiCAR) and highlights that HTX achieved a month-to-month common EUR-stablecoin buying and selling quantity of €48 million, with a notable quantity of €33 million in November 2024, rating third following Binance and Coinbase.
This surge in EUR-denominated buying and selling coincides with the regulatory shifts. Regulatory readability has develop into a key driver of institutional adoption and market confidence. The total rollout of MiCAR represents a significant milestone for the business, providing a unified framework that spans throughout 27 European Union (EU) member states. Whereas MiCAR streamlines compliance and fosters innovation, it additionally brings alongside advanced challenges that exchanges should navigate. HTX Ventures explores each the alternatives and hurdles that include this landmark regulation.
Alec Goh, Head of HTX Ventures, stated, “The implementation of MiCAR is a significant step in the fitting route for the crypto business, offering much-needed regulatory readability and fostering an atmosphere conducive to institutional adoption. As jurisdictions worldwide develop into extra crypto-friendly, a united framework like MiCAR will speed up innovation whereas making certain sturdy compliance. At HTX Ventures, we see this as a chance to drive the event of on-chain compliance instruments, help the emergence of compliant DeFi options, and bridge the hole between conventional finance and digital belongings.”
Alternatives:
Unified Regulatory Framework Reduces Prices and Boosts Market ConfidenceMiCAR covers all 27 EU member states by way of a “single license” strategy, enabling exchanges to considerably scale back compliance prices throughout borders. This unified regulatory framework offers a transparent and steady regulatory atmosphere for the market, rising confidence and participation amongst institutional buyers whereas positioning Europe to changing into the world’s largest compliant digital asset market.Technological Improvements Drive On-Chain Compliance ToolsTo meet MiCAR’s stringent anti-money laundering (AML) and reserve monitoring necessities, exchanges can actively discover compliance software improvements, together with: Utilizing oracle networks to modularize AML guidelines and reserve monitoring, executing them on-chain for real-time knowledge transparency.Adopting zk-SNARKs to construct an on-chain central platform for regulatory knowledge, enabling transaction knowledge desensitization to stability regulatory transparency with person privateness.Leveraging account abstraction expertise (ERC-4337) to combine KYC processes into non-custodial wallets, decreasing boundaries for conventional monetary establishments to entry DeFi.New Alternatives for the Convergence of Conventional and Crypto AssetsWith platforms reminiscent of Coinbase launching securitized tokens, exchanges can introduce real-world asset (RWA) buying and selling. This consists of income-based stablecoins backed by US shares or Treasuries, enabling customers to leverage belongings like USDT for multi-asset allocation and world liquidity matching.
Challenges:
Excessive Prices and Technical Complexity of ComplianceMiCAR imposes strict necessities on stablecoin issuers and Crypto Asset Service Suppliers (CASPs), together with sufficient reserves, common audits, and sturdy anti-money laundering measures. Exchanges should make investments considerably in R&D to combine compliance instruments, knowledge desensitization strategies, and on-chain regulatory platforms with out compromising market fluidity.Uncertainty within the Dynamic Coverage Surroundings With regulatory insurance policies evolving quickly, exchanges should set up multi-chain testing environments and collaborate with regulatory-friendly areas (e.g., Lithuania, Malta) for cross-border stress assessments and regulatory state of affairs simulations. This requires steady funding, with dangers on the coverage interpretation and implementation ranges.Safety Dangers and Stringent Custody Necessities Following high-profile incidents like FTX, MiCAR has launched rigorous digital asset custody necessities, mandating bank-level safety measures to forestall hacking and asset loss. As DeFi integrates with conventional monetary rules, exchanges should tackle each technical vulnerabilities and evolving safety dangers.
HTX Ventures firmly believes that underneath a clearer regulatory framework reminiscent of MiCAR, exchanges can obtain a win-win scenario by way of technological improvements and world asset allocation, balancing compliance with market innovation. Shifting ahead, the agency will proceed to leverage its insights and experience to actively discover on-chain compliance instruments, increase RWA buying and selling, and construct a dynamic testing atmosphere, navigating regulatory complexities and making certain that crypto innovation stays aligned with long-term institutional adoption and market sustainability.
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About HTX Ventures
HTX Ventures, the worldwide funding division of HTX, integrates funding, incubation, and analysis to determine the most effective and brightest groups worldwide. With greater than a decade-long historical past as an business pioneer, HTX Ventures excels at figuring out cutting-edge applied sciences and rising enterprise fashions throughout the sector. To foster progress throughout the blockchain ecosystem, we offer complete help to tasks, together with financing, assets, and strategic recommendation.
HTX Ventures presently backs over 300 tasks spanning a number of blockchain sectors, with choose high-quality initiatives already buying and selling on the HTX change. Moreover, as one of the lively FOF (Fund of Funds) funds, HTX Ventures invests in 30 high world funds and collaborates with main blockchain funds reminiscent of Polychain, Dragonfly, Bankless, Gitcoin, Figment, Nomad, Animoca, and Hack VC to collectively construct a blockchain ecosystem. Go to us right here.Be happy to contact us for funding and collaboration at [email protected].
About HTX
Based in 2013, HTX has advanced from a digital asset change right into a complete ecosystem of blockchain companies that span digital asset buying and selling, monetary derivatives, wallets, analysis, investments, incubation, and different companies. As a world-leading gateway to Web3, HTX harbors world capabilities that allow it to supply customers with secure and dependable providers. Adhering to the expansion technique of “International Growth, Thriving Ecosystem, Wealth Impact, Safety & Compliance”, HTX is devoted to offering high quality providers and values to digital asset lovers worldwide.
For extra info on HTX, please go to the HTX Sq., or https://www.htx.com/, and comply with X, Telegram, Discord. For additional press enquiries, please contact [email protected].
