EU supervisory authorities highlight cyber resilience, crypto risks and regulatory simplification in the 2025 Annual Report. The report has indirect relevance for retail trading and CFD markets through its focus on consumer protection, crypto asset risks and PRIIPs rules.
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It does not introduce CFDs or new leveraged trading measures, but continues to focus on disclosure standards, fraud prevention and supervisory convergence across EU retail markets.
EU supervisors are expanding the scope of Cyber and DORA
The Joint Committee of European Supervisory Authorities said it would maintain a central coordinating role in 2025 with the European Commission and the European Systemic Risk Board. The Committee, chaired by EIOPA, focused on supervisory coordination at the EU level.
The report covered consumer protection, financial stability and supervisory cooperation. She said 2025 was shaped by geopolitical uncertainty, faster digitalization and financial innovation. The European support agencies said they aim to keep “regulatory frameworks strong, proportionate and forward-looking”.
The main focus was the Digital Operational Resilience Act. The ESA said it had delivered all required legal instruments and issued guidance ahead of the application date of 17 January 2025. They also appointed 19 third-party ICT service providers between April and November 2025, with the European Banking Authority acting as lead supervisor.
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New cyber coordination tools were introduced, including cyber incident information sharing and threat intelligence exchange. The European support agencies said that these measures “constitute a comprehensive and coordinated effort to strengthen the EU’s resilience to ICT-related risks.”
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on Systemsthe Committee supported EU efforts to simplify financial rules, including the work of the Key Information Document for PRIIPs and amendments to SFDR reporting, including the deprioritization of a single annual report. She said simplification should not weaken financial stability or consumer protection.
ESAs highlight risks across the financial system
In its risk assessment, the ESA said geopolitical tensions, trade restrictions and global conflicts had increased uncertainty and market volatility. They warned organizations of the need to remain vigilant, saying that “strengthening risk management practices, enhancing resilience to cyber threats, and ensuring preparedness for market shocks is essential.”
The report also noted risks from cyber threats, the concentration of third parties in ICT, digital assets, and non-bank finance. The risks of cryptocurrencies have been highlighted, with warnings about limited legal protection depending on the type of asset.
Consumer protection remained a priority. The ESA updated its PRIIPs guidance and reported 12 administrative penalties across Belgium, Denmark, Hungary and Poland. They also issued warnings about cryptocurrency fraud and AI-driven scams.
Other initiatives included ESAP development, AMLA collaboration, BigTech oversight, securitization review, and a supervisory data exchange system. Geopolitical risks, cyber threats and structural market shifts remain a key concern for financial stability, European support agencies said.
This article was written by Tariq Sikdar at www.financemagnates.com.
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