Legal frameworks and blockchain innovation: a comparative analysis of smart contracts and securities regulations

Abstract

The thesis addresses the relationship between the principle of contract freedom and securities regulations in the framework of it within the European Union. Through the lens of EU's Bill on Regulation of Crypto-Assets Markets (MiCA), the article discusses how new technological prospects confuse the existing legal approach. The tagline of the analysis emphasises the dual potential of blockchain that is to revolutionize and introduce risks, consequently evoking the need for redefining the laws to safeguard the market stability and the consumers. The thesis assesses whether MiCA helps to bridge the gap of displaced financial application and regulatory requirements creating a balance between innovation and regulatory supervision. The last section of the study concludes that the ongoing legal frameworks should be modified to be able to keep the pace with the technological development so as to ensure that market integrity and the interests of participants are also protected.