Digital Asset Association Austria, reporting feedback to the European Commission on the EU’s Digital Finance Package:
While we acknowledge the need to provide wide definitions in order to be able to account for future developments in the crypto-industry, the current open definition of crypto-assets bears the risk of over-extending the application of MiCA to crypto-assets that are a digital representation of rights, in particular of usage rights, and thus akin to vouchers or other means to provide proof of right to gain access to products or services. Even if such crypto-assets are fungible (stored on a public DLT), their regulation under MiCA seems excessive.
We thus believe that MiCA should provide for a clearer distinction between tokens that qualify as assets (payment or investment function) and other tokens that primarily serve as means to legitimize the access to certain products or services and provide for an exemption of the latter. However, we acknowledge that there might be considerations regarding information deficits and a potential market abuse around crypto-assets legitimizing the access to certain products and services. Crypto-assets with investment function should be clearly delineated from financial instruments Sometimes it really is that simple.
Digital Assets made simple.