Lucas Wensing (Amdax): MiCA creates a level playing field and strengthens confidence
Lucas Wensing (Amdax): MiCA creates a level playing field and strengthens confidence
This text was originally written in Dutch. This is an English translation.
By Esther Waal
The crypto market is rapidly professionalising. Following Bitcoin ETFs in 2024, 2025 will bring further regulation and institutional entry. MiCA will create a harmonised supervisory framework, while tokenisation of real-world assets will bring digital and traditional markets closer together. At the same time, questions remain about applications, strategy and positioning within multi-asset portfolios. Reason enough for Financial Investigator to ask Lucas Wensing, CEO of Amdax, a number of questions.
What steps are crucial to further strengthen the bridge between traditional financial institutions and crypto service providers?
‘Cooperation between traditional financial institutions and crypto service providers is developing rapidly, but still requires better mutual understanding. Digital assets have long been considered a niche market, which has led to fragmented knowledge within many institutions. This hinders a proper understanding of the risks, market structure and implications for existing processes. Crypto service providers, in turn, face the challenge of further aligning their governance and risk management with the requirements that are common in the financial sector.
The arrival of MiCA will give this development a clear boost. The new European regulatory framework creates a more level playing field, strengthens confidence and makes cooperation more predictable. This will enable financial institutions and crypto service providers to operate on the same basis and integrate digital assets into the broader financial ecosystem in a more professional and sustainable manner.’
How do you see the role of regulated parties changing under MiCA, and what does that mean for the confidence of institutional investors?
‘MiCA creates a harmonised supervisory framework for crypto services for the first time. This provides immediate insight into which parties comply with strict European standards in the areas of governance and risk management. For licensed parties, this results in a better position within the sector. With the arrival of MiCA, uncertainty for institutional investors is reduced, significantly lowering the threshold for working with regulated crypto service providers.’