MiFID Exemption

Definition ∞ A MiFID Exemption refers to specific provisions within the Markets in Financial Instruments Directive that allow certain entities or activities to operate without adhering to the full scope of its regulatory requirements. MiFID is a comprehensive EU regulation governing financial markets, aiming to increase transparency and investor protection. Exemptions are typically granted under strict conditions, often for specific types of instruments or market participants deemed to pose lower systemic risk. These exemptions can influence how digital assets are classified and regulated.
Context ∞ The concept of a MiFID exemption is highly relevant in discussions about the regulatory classification of digital assets in the EU. News often reports on legal interpretations or proposed amendments that might grant crypto-related services such exemptions. A key debate involves determining which digital assets, if any, qualify for such exemptions, balancing innovation with regulatory oversight.