Poland's president vetoes MiCA bill again as crypto companies look to license abroad
Poland’s president has vetoed a second proposal to align the nation's cryptocurrency regulations with the European Union's Markets in Crypto-Assets Regulation framework, exacerbating uncertainty for local platforms as a critical transition deadline looms.
Last week, President Karol Nawrocki rejected Bill 2064, marking another setback for efforts to implement the EU's Markets in Crypto-Assets Regulation (MiCA), according to a statement from the president’s office. Nawrocki had previously vetoed a similar proposal in December, labeling Bill 2064 as “practically identical” to the earlier Bill 1424 that was also dismissed.
This latest veto coincides with a warning from the Polish Financial Supervision Authority (KNF), which noted that Poland has yet to appoint a competent authority to oversee the crypto market and emphasized the MiCA transition deadline of July 1, 2026. The situation highlights ongoing debates and divisions within Poland’s government regarding the regulation of digital assets, with Nawrocki appearing to favor a more industry-friendly approach by rejecting the stringent legislation.
A KPMG partner was fined for using AI to pass an AI test
A partner at KPMG Australia has been fined A$10,000 (US$7,000) for misusing AI tools to gain an unfair advantage in an internal training course on AI use.
The partner, whose name remains undisclosed, was required to retake the test after submitting training materials to an AI platform to assist in answering questions about this rapidly advancing technology. KPMG has reported that over two dozen employees have been detected this financial year employing AI tools during internal assessments.
This incident highlights the ongoing challenges professional service firms face as they contend with staff exploiting artificial intelligence to cheat during examinations or while delivering client work.
ECB sanctions J.P. Morgan for misreporting capital requirements
The European Central Bank (ECB) has levied a total of €12.18 million in administrative fines against J.P. Morgan SE for inaccurate reporting of risk-weighted assets.
Between 2019 and 2024, J.P. Morgan SE reported significantly lower risk-weighted assets than required. This miscalculation stemmed from the bank's failure to classify corporate exposures correctly for 15 consecutive quarters, applying a lower credit risk weight than mandated by banking regulations. Moreover, for 21 consecutive quarters, the bank improperly excluded specific transactions from its risk-weighted asset calculations related to credit valuation adjustment risk, which assesses the likelihood of counterparty default in derivatives contracts.
These violations were characterized by serious negligence and highlighted significant flaws in the bank's internal processes, which failed to detect these breaches promptly.
