Bruegel, a Belgian economic research institute, proposes to standardize cryptocurrency and ICO regulation within the European Union.
The institute presented its report to the EU Economic and Financial Affairs Council (Ecofin) in Vienna, in September 2018, as the economic and finance ministers sitting on the Council argued the opportunities and risks involved in cryptocurrency, along with the possibility of a regulation.
In this report, Bruegel recognized the complexity of regulating cryptocurrency, given its decentralized nature. The institute rather suggested to regulate the organization, e.g. crypto exchanges and mining operators. The report supported its proposition by explaining how China recently implemented new regulations on crypto mining operators.
Comprehensive cryptocurrency regulation is however deemed unnecessary for the moment by the EU authorities, due to its minimal impact on EU economics. As the small value of crypto trading in the European Union, it is not perceived as a risk, e.g. to financial stability. Nevertheless, the ministers recognize the high potential of cryptocurrency for illicit activities, such as money laundering and fraud.