Foreign stablecoins under EU law: risks and regulatory responses
Dr Daniele D’Alvia’s has been awarded funding by the European Central Bank (ECB) Legal Research Programme to examines the regulatory and systemic implications of foreign stablecoins within the European Union.
The project, titled ‘Foreign stablecoins under EU law: risks and regulatory responses', examines the regulatory and systemic implications of foreign stablecoins within the European Union. While the EU has introduced a comprehensive framework through the Markets in Crypto-Assets Regulation (MiCA), the project explores whether this regime is sufficient to address the risks posed by stablecoins issued outside the EU but circulating within its financial system.
The research focuses in particular on the potential impact of foreign stablecoins on monetary sovereignty, financial stability and banking intermediation. It aims to identify regulatory gaps in the current framework and to assess how EU law could better respond to the cross-border nature of digital financial instruments.
The project ultimately seeks to contribute to ongoing policy debates at the European level by proposing a more coherent approach to the regulation of stablecoins, taking into account both prudential safeguards and their broader implications for the monetary and financial system.
The project was awarded to Dr D’Alvia after a rigorous two-stage review process, which included a peer review of each proposal followed by a comparative discussion among ECB reviewers.
Dr Daniele D'Alvia is Lecturer in Banking and Finance Law and Deputy Director of the Institute of Banking and Finance Law at Queen Mary University of London.
More information:
- Study an LLM in Banking and Finance Law at Queen Mary.