European insurers will be penalised for holding cryptocurrencies under proposals announced by EU regulators on Thursday, imposing their most stringent capital requirements ever on bitcoin and other digital assets.
The move is designed to discourage EU insurers from holding digital assets, at a time when the US has begun to loosen its restrictions on such holdings by traditional financial institutions.
The European Insurance and Occupational Pensions Authority said it was recommending the European Commission introduce a 100 per cent capital requirement for all crypto assets held by insurers.
The watchdog’s punitive…
