The European Union’s market regulator wants to debate whether regulations for hosting securities traded using DLT need to be changed to be more effective.
The European Securities and Markets Authority (ESMA) has requested stakeholders to present on the use of blockchain technology in swapping and trading tokenized securities.
In particular, the regulator is investigating the regulation of securities traded using DLT. The institution is considering whether these regulations should be changed.
The institution’s “DLT Pilot” will explore how data stored on the blockchain can be traded more efficiently, cost-effectively and securely. The process is scheduled to take place in early 2023.
Stakeholders have until March 4, 2022 to submit their comments on the matter.