CoinVoice recently learned that according to CryptoSlate, according to a statement on October 7, crypto investment company 21Shares called on the European Securities and Markets Authority (ESMA) to formulate standardized regulatory rules for the inclusion of cryptocurrencies in transferable securities collective investment schemes (UCITS) funds. The company pointed out that the current practice lacks consistency, causing confusion for retail and institutional investors across Europe. For example, Germany and Malta allow UCITS funds to include cryptocurrencies, while Luxembourg and Ireland do not.

Mandy Chiu, head of financial product development at 21Shares, explained that this fragmented approach limits retail investors’ ability to fully leverage cryptocurrencies. She added: “By providing a consistent set of rules across Europe, ESMA can open up new ways for investors to diversify and add value to their portfolios in an environment that is regulated and designed to protect investors.” Chiu also noted that clear and consistent rules will help stabilize the market while promoting growth in the cryptocurrency industry.

Therefore, 21Shares urged ESMA to develop comprehensive guidelines that would allow all EU member states to invest indirectly in cryptocurrencies. According to 21Shares, this would protect investors and broaden the channels for cryptocurrency investment. It is worth noting that 21Shares' call for regulatory clarity comes at a time when ESMA is reviewing feedback from its recent consultation on the inclusion of new asset classes, including cryptocurrencies, in UCITS funds. [Original link]