The Cardano Foundation has issued a formal call for greater regulatory clarity in the European Union’s crypto policies, warning that the current fragmented framework is hindering industry growth while potentially being exploited for regulatory arbitrage. In a newly released report titled DARTE (Digital Assets Regulation and Token Economy), compiled through expert-led roundtables with regulators, legal experts, and policymakers, the Foundation highlighted a critical gap between the written rules and their practical application across EU member states. The Paris 2.0 DARTE session on April 14 examined three key policies: the Markets in Crypto-Assets Regulation (MiCA), the Digital Operational Resilience Act (DORA), and the upcoming Anti-Money Laundering framework set to take effect next year with extended KYC/AML obligations. According to the report, these rules have both stifled innovation and been gamed by firms taking advantage of inconsistent enforcement.
The Foundation specifically urged the EU to harmonize crypto rules across all jurisdictions, establish basic stablecoin regulations before moving to more complex products, and avoid overcomplicating compliance requirements that could push firms away. It cautioned that without these changes, the EU risks falling behind the United States, where initiatives like the GENIUS Act, a strategic national crypto reserve, and the expected passage of the CLARITY Act signal a more welcoming stance. The report also noted the EU’s parallel focus on a digital euro CBDC, digital product passports, and digital identity, suggesting Cardano’s blockchain infrastructure could play a role if public blockchains are leveraged.
While the regulatory debate unfolds, on-chain data from Santiment Intelligence paints a contrasting picture of strong long-term conviction among large ADA holders. Whale wallets holding at least 1 million ADA now collectively control over 25.09 billion tokens, representing approximately 67.47% of the total supply—the highest concentration since July 2020. This accumulation appears despite ADA’s persistent price weakness, with the token trading around $0.2647 after a 3% daily slip at press time. The 4-hour chart shows ADA struggling to maintain a parabolic recovery structure, with the MACD turning bearish and RSI slipping; a defense of the $0.26 support could trigger a rebound toward $0.30, while a breakdown might test $0.24. The divergence between whale buying and retail selling adds a layer of uncertainty, though historically such whale behavior during downturns has often preceded price recoveries.
