The Cardano Foundation has asked the European Union (EU) to make its crypto regulations clearer and easier to follow. According to the Foundation, the current rules are too complicated and are being applied differently across EU countries.
In a new report called DARTE (Digital Assets Regulation and Token Economy), Cardano experts, regulators, legal professionals, and policymakers discussed the challenges facing the crypto industry in Europe.
The report focused on three major EU regulations:
- MiCA (Markets in Crypto-Assets Regulation)
- DORA (Digital Operational Resilience Act)
- New Anti-Money Laundering (AML) rules
Cardano says these laws are creating confusion for crypto companies because every country may interpret or apply them differently. The Foundation believes the EU should create one clear system for all member countries to prevent unfair advantages and make compliance easier.
The report also advised the EU to first focus on simple and clear stablecoin rules before introducing more complex crypto regulations. Cardano warned that overly strict rules could stop companies from expanding into Europe.
The Foundation also compared Europe with the United States, where the government is taking a more crypto-friendly approach. The U.S. has recently introduced supportive policies, including the GENIUS Act and plans for a strategic Bitcoin reserve.
Some industry experts believe the EU may be giving more attention to its planned digital euro, a central bank digital currency (CBDC), instead of supporting decentralized cryptocurrencies.
Meanwhile, Cardano is also positioning itself as a blockchain solution for future EU digital projects such as Digital Identity systems and Digital Product Passports.
Despite recent market weakness, large Cardano investors continue to buy ADA. Data from Santiment shows that wallets holding at least 1 million ADA now control around 67% of the total ADA supply.
At the time of writing, Cardano’s ADA token was trading near $0.26 after falling around 3% in the last 24 hours.