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EU Commission Publishes “Digital Omnibus” to Simplify Tech Regulation and Compliance

The European Commission (EC) has published a new regulatory framework known as the “Digital Omnibus,” aimed at significantly simplifying the European Union’s fragmented tech regulation landscape. This wide-ranging initiative seeks to reduce regulatory overlap and streamline the compliance environment for businesses operating across the digital single market. The Omnibus is designed to address complexities that have arisen from the concurrent implementation of major regulations, including the Digital Markets Act (DMA), Digital Services Act (DSA), and the upcoming AI Act.

The implications for blockchain and digital asset projects are significant. The framework aims to clarify and potentially streamline compliance requirements for firms operating under the Markets in Crypto-Assets (MiCA) Regulation, particularly by defining a clearer pathway for cross-border operations. The overall simplification effort is intended to encourage innovation, reduce legal costs, and make the EU a more attractive jurisdiction for digital asset development, especially for small and medium enterprises (SMEs).However, the proposal has been met with caution by some consumer and data protection groups, who worry that simplifying regulation might lead to a weakening of enforcement standards for data privacy and ethical AI use. The EC maintains that the goal is not to lower protection levels but to increase the efficiency and consistency of enforcement across all 27 member states, thereby ensuring the EU can remain competitive while upholding its regulatory values.

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