Google plans to start enforcing the European Union’s Markets in Crypto-Assets (MiCA) framework for crypto advertisements on April 23. The MiCA framework goes into effect in December 2024. Most importantly, it establishes the first complete regulatory framework for digital assets across the European Union. This framework has now extended to cryptocurrencies exchanges and crypto wallet advertisements. This would need them to either apply for a license under MiCA or the new Crypto Asset Service Provider (CASP) regulation.

The European MiCA framework extends across 27 countries. This list includes Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain and Sweden. Digital asset regulatory framework. Additionally, Google requires crypto advertisers to be certified under the digital asset regulatory framework.

The framework has a transition period for national licenses, lasting anywhere from five to 15 years depending on the member country. This transition should be used as an opportunity to offer guidance on how current crypto businesses can seamlessly integrate into the new regulatory environment.

"On one hand, they do enhance investor protection by filtering out unregulated actors." - Hon Ng, chief legal officer at Bitget

"The MiCA framework’s strict AML/CFT and transparency requirements create a safer ecosystem, reducing scams like the ICO frauds that plagued the industry pre-2023." - Hon Ng, chief legal officer at Bitget

According to Google's policy update, violations of the policy "won’t lead to immediate account suspensions," as a warning will be issued at least seven days before any account suspensions. This hybrid approach provides advertisers time to adjust to the new rules.

"Any impact of this change in Google’s policy is downstream of the regulations themselves. If MiCA or CASP registration turns out to be burdensome, expensive and only accessible to big players, then smaller players will have a lot of difficulty competing in these jurisdictions." - Mattan Erder, general counsel at layer-3 decentralized blockchain network Orbs