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The upcoming European Union parliamentary elections from June 6 to June 9 could significantly impact the future of crypto regulations and the approval of spot Ether (ETH) exchange-traded funds (ETFs). This election is being seen as a potential turning point for the crypto industry. 
Jag Kooner, head of derivatives at Bitfinex, highlighted in an interview with Cointelegraph the uncertainty surrounding the elections, referring to them as a “wildcard” moment. He stated, “The elections could see a major shift in the political landscape, with right-wing and populist parties expected to gain substantial ground. This shift could influence regulatory stances, potentially leading to more stringent controls or, conversely, more supportive policies depending on the composition of the new parliament.” 
The possibility of right-wing parties gaining more influence in the EU could introduce more protective measures for the crypto industry. Marina Markezic, co-founder and executive director of the European Crypto Initiative (EUCI), noted, “The right-wing trend will likely leave its mark on the Commission’s activities, including the expected portfolios of the upcoming Commissioners, which might present more visible protectionist tendencies.” 
Markezic also suggested that this political shift might lead to the adoption of innovation-friendly crypto regulations, presenting a new and unexpected ally for the crypto advocacy in Brussels and Strasbourg. 
The outcome of the elections could also impact the implementation of the Markets in Crypto-Assets (MiCA) bill, the first comprehensive regulatory framework for cryptocurrencies in the EU. MiCA is set to take full effect in December 2024, potentially paving the way for more robust regulatory clarity and investor confidence. 
Despite the potential for more conservative crypto regulatory policies, spot Ether ETFs are making headway with financial institutions in Europe. Following the approval by the United States Securities and Exchange Commission (SEC) of the 19b-4 filings for eight spot Ether ETF issuers on May 23, European financial institutions are gaining confidence in Ether ETFs. Kooner explained, “The approval of Ethereum ETFs in the EU is gaining traction… VanEck and Franklin Templeton have already listed their ETH ETFs on the DTCC in anticipation of regulatory approval. This move sets a strong precedent for the EU, where the regulatory framework provided by the MiCA regulation could facilitate similar approvals.” 
It is worth noting that some of Europe’s largest banks are already moving into the crypto space, thanks to the clarity offered by the MiCA bill. In April, Germany’s largest federal bank, Landesbank Baden-Württemberg (LBBW), announced plans to offer crypto custody services to institutional clients starting in the second half of the year. Similarly, Raiffeisen, Austria’s largest community banking group, partnered with Bitpanda to offer digital asset services to retail banking customers. 
As the elections near, the crypto community is fighting hard, and the involvement of significant players like Bitfinex highlights the growing political influence of the crypto sector. In the meantime, as the US presidential elections draw closer, crypto exchange Coinbase has announced a<a href="https://www.unlock-bc.com/124062/coinbase-donates-25m-to-pac-as-community-fights-hard-ahead-of-2024-elections/" class="ek-link"> $25 million donation</a> to the pro-crypto super PAC, Fairshake. This step strengthens its lobbying efforts as the November U.S. elections approach, marking another significant fight during elections worldwide. 
The post <a href="https://www.unlock-bc.com/124066/eu-elections-pivotal-for-crypto-regulations-could-lead-to-first-ether-etf/">EU Elections Pivotal for Crypto Regulations, Could Lead to First Ether ETF</a> appeared first on <a href="https://www.unlock-bc.com">UNLOCK Blockchain</a>.

EU Elections Pivotal for Crypto Regulations, Could Lead to First Ether ETF

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