Analysis: EU banking regulation provides competitive advantages for crypto companies, while U.S. counterparts face regulatory uncertainty and restricted bank access.

CoinVoice has recently learned that an analysis by Patrick Hansen, Senior Director of EU Strategy and Policy at Circle, shows that EU banking regulation provides a significant competitive advantage for crypto companies, while their U.S. counterparts face regulatory uncertainty and restricted bank access.

The report indicates that the EU has promoted innovation in the financial sector for non-bank payment service providers (PSP) through legal frameworks such as the Electronic Money Directive (EMD) and the Payment Services Directive (PSD). The latest regulations, such as the Instant Payment Regulation (IPR) and Payment Services Directive 3 (PSD3), further expanded non-bank PSP's access to central bank payment systems.

In contrast, the United States faces restricted bank access and hindered industry development due to the lack of a unified federal regulatory framework. Data shows that Europe has 55 crypto-friendly banks, far surpassing North America's 23.

Hansen pointed out that the EU's coordinated regulatory strategy provides significant support for the crypto and fintech industries while reducing regulatory uncertainty. [Original link]