The European Securities and Markets Authority (ESMA) has issued a warning about the dominance of a few exchanges in the cryptocurrency market, which could pose risks to the financial ecosystem. As of the latest data, about 90% of all crypto transactions are processed by just 10 exchanges, with Binance leading at a 49% market share.
This concentration raises concerns over the potential impacts of exchange failures or malfunctions on the broader market. As the EU prepares to implement the MiCA regulatory framework in 2024, these findings highlight the critical need for robust oversight and risk management in the crypto sector.
Read the full report here: https://www.esma.europa.eu/sites/default/files/2024-04/ESMA50-524821-3153_risk_article_crypto_assets_market_structures_and_eu_relevance.pdf
🌐 Dive deeper into how these developments impact the broader financial landscape and explore further insights at www.besideproject.eu
