CSD Regulation

Definition ∞ CSD Regulation refers to the European Union’s Central Securities Depositories Regulation, a legislative framework governing the authorization and supervision of central securities depositories. This regulation aims to increase the safety and efficiency of securities settlement across the EU. It establishes uniform requirements for CSDs regarding their organization, conduct, and services. While primarily focused on traditional finance, its principles are increasingly relevant to digital asset custody and settlement.
Context ∞ While CSD Regulation directly applies to conventional financial markets, its principles of settlement finality, operational resilience, and investor protection hold increasing relevance for the evolving digital asset landscape. Discussions often consider how the framework might influence the design of regulated blockchain-based securities platforms. Future regulatory approaches for digital assets may draw parallels from existing CSD requirements to ensure market stability and consumer safety.