EU Preps 'European SEC': Unified Oversight for Stock and Crypto Exchanges
The European Commission is developing a mechanism for centralized oversight of stock and cryptocurrency exchanges, modeled after the US Securities and Exchange Commission (SEC). The measure is part of the 'Capital Markets Union' strategy aimed at improving the EU's competitiveness in the global financial market.
The Essence of the Initiative
The project involves transferring direct supervisory powers to the European Securities and Markets Authority (ESMA) over:
stock exchanges;
cryptocurrency platforms;
crypto-asset service providers (CASP);
other trading infrastructures.
The document is planned to be presented in December 2025. The initiative is based on the Markets in Crypto-Assets Regulation (MiCA), which from December 2024 allows companies licensed in one EU country to operate throughout the block through a 'passporting' mechanism. France, however, advocates for limiting this mechanism to prevent regulatory arbitrage.
Key goals:
eliminating fragmentation due to 27 national regulators;
reducing cross-border costs;
minimizing systemic risks of major cross-border players.
Regulators' Positions
ECB President Christine Lagarde said at the European Banking Congress in November 2023: 'Creating a European SEC by expanding ESMA's powers could be the solution. A broad mandate is required, including direct oversight.' In October 2025, ESMA Chairwoman Verena Ross confirmed plans to transfer national authorities' functions to ESMA, emphasizing that this would eliminate the 'ongoing market fragmentation.'
Expected Impact on the Crypto Market
Unified oversight can stabilize the sector by reducing the risks of inconsistent national rules. Similar to the SEC, ESMA will ensure transparency and investor protection, attracting innovation in DeFi and tokenized assets. In the short term, volatility is possible: providers from 'soft' jurisdictions (Lithuania, Estonia) will face tightening. In the long term, trust in the market will increase, and trading volumes may grow by 15–20% due to lowered barriers, as similar reforms in Asia have shown.
The initiative reflects the global trend of integrating crypto-assets into traditional finance. The EU strives not to lag behind the US, where the SEC already regulates crypto exchanges as securities.