- Cross-border supervision hurdles must be reported; rules apply three months post-translation, with regulators confirming compliance or explaining delays.
- ESMA skipped public input, citing regulator-focused rules; stakeholder group feedback strengthened cooperation guidelines before final adoption under MiCA framework.
The European Securities and Markets Authority (ESMA) has finalized guidelines for EU regulators to identify and prevent market manipulation in crypto. Released Tuesday, the rules outline steps for national authorities to monitor on-chain and off-chain data, targeting tactics like insider trading and false information campaigns. The guidelines align with the Markets in Crypto-Assets Regulation (MiCA), which took effect in December 2024.
❓ It's Q&A day. #ESMA recently published new Q&As on:
👉 Crowdfunding
👉 Markets in Crypto-Assets Regulation #MiCAhttps://t.co/NyV52IXCcy pic.twitter.com/bxklhM0F5I— ESMA – EU Securities Markets Regulator 🇪🇺 (@ESMAComms) April 25, 2025
Regulators must adopt the measures within two months or publicly disclose non-compliance. ESMA emphasized a proportional approach, urging authorities to prioritize high-risk areas while adapting to evolving market tactics. Coordination between EU agencies is mandated to streamline risk assessments and share insights with anti-fraud or consumer protection bodies.
A core directive involves scrutinizing online platforms—social media, blogs, podcasts—for misleading claims about crypto assets. Automated tools will flag suspicious activity, followed by human review.
Firms handling crypto transactions must implement systems to detect abuse, with oversight scaled to their operational size. Authorities must also follow defined procedures when investigating reported irregularities, including assigning responsibility and assessing case severity.
The guidelines address cross-border challenges, instructing regulators to identify hurdles in supervising non-EU crypto firms and share findings with ESMA. Adoption begins three months after multilingual publication.
ESMA bypassed public feedback, citing the rules’ focus on regulators, not industry players. Input from the Securities and Markets Stakeholder Group led to revisions stressing inter-agency collaboration.
