The Markets in Crypto-Assets (MiCA) crypto licensing regulations have been overwhelmingly approved by the European Parliament, with MEPs voting 517-38 in favor of the new regime.

The EU member states have already given their approval to the world's first comprehensive regulation for the crypto sector. MiCA requires firms to acquire a license to offer their services in the bloc and comply with anti-money laundering and terrorist financing regulations. In order to tackle the carbon footprint of the sector, "significant" service providers must also disclose their energy consumption. The Transfer of Funds regulation, which requires crypto firms to identify their customers, was also approved in a separate vote of 529-29.

The phased introduction of MiCA will begin next July. Mairead McGuinness, the EU financial services commissioner, urged other parts of the world to follow the EU's lead and added that FTX's practices would not have been allowed under MiCA if the company had been under the EU's jurisdiction. Legal consultant Anna Carrier at Norton Rose Fulbright warned that companies must act quickly due to the short implementation timeframe and the need for technical secondary legislation before MiCA becomes effective.