The recent European elections held at the beginning of June this year caused a small earthquake. There were also some good surprises. Indeed, several parties supporting cryptocurrencies won seats.
More than 185 million citizens from the 27 member states of the European Union voted for their representatives in early June.
These representatives will sit for five years in the new European Parliament, the legislative branch of the political bloc.
This defining event will shape the political direction of the EU for five years. Cryptocurrencies and blockchain will be particularly important subjects.
Balancing innovation and regulatory oversight in Europe
The election results are mixed. The Christian Democrats won 10 seats. The Social Democrats are stable and lost only four seats. The pro-business and pro-crypto Renew Europe group suffered a bigger loss. They lost 23 seats.
The Greens also lost 18 seats. The far-right parties, on the other hand, made notable gains.
The newly elected European Parliament will significantly influence the future of cryptocurrencies and blockchain technology in the EU.
Each political group has a different perspective. The EPP Group favors balanced regulation to support growth and innovation.
The S&D Group prioritizes strict rules to prevent abuse and supports the development of a digital euro.
Renew Europe advocates a proactive stance on digital assets. The creation of a digital euro and a European digital identity are particularly major topics.
Europe’s challenges
Given the diversity of the Parliament’s composition, experts anticipate debates and potential adjustments to frameworks such as MiCA.
The presence of far-right and conservative parties adds to the complexity. Some of them are skeptical of the digital euro. One hypothesis put forward is that it could make it easier to track citizens’ activities.
Moreover, these parties would prefer to give priority to stricter anti-money laundering measures.
In addition, smaller groups like the Greens and the Left emphasize environmental concerns and social justice in the realm of digital finance.
