The European Union plans to launch capital market integration reforms in 2027, and cryptocurrency companies will also be subject to ESMA regulation.

[EU Plans to Launch Capital Market Integration Reform in 2027, Crypto Companies to Be Regulated by ESMA] European Commissioner for Financial Services, Mairead McGuinness, stated on Tuesday that the EU aims to begin implementing its comprehensive capital market integration reform package by 2027, providing guidance on the reform’s timeline for the first time. “We should push for discussion and approval of this package as soon as possible; ideally, it would be perfect if implementation could start in 2027.” Last week, the European Commission announced plans to grant its market regulator, the European Securities and Markets Authority (ESMA), greater supervisory and enforcement powers as one of a series of measures to integrate fragmented capital markets. The proposal still requires approval from the European Parliament and the EU Council, with some member states strongly opposed. Centralizing regulatory authority would bring major clearing houses, central securities depositories, and trading platforms under ESMA’s jurisdiction, and crypto companies would also be regulated by ESMA. The EU has also pledged to conduct a comprehensive review of banking regulatory rules by the end of next year. The European Central Bank will announce a proposal to streamline banking regulation on Thursday, which will be included in the European Commission’s overall reform efforts.