The blog post discusses proposed amendments to the MiFIR transaction reporting regime by the European Securities and Markets Authority (ESMA) as part of the ongoing regulatory divergence between the EU and the UK. These changes include the addition of 48 new data points to better align MiFIR with other reporting frameworks like EMIR Refit, the introduction of a Transaction Identification Code (TIC) to unify reporting across off-exchange transaction chains, and the adoption of ISO 24165 Digital Token Identifiers for securities involving Distributed Ledger Technology (DLT) and crypto assets. ESMA also proposes extending reporting exemptions under RTS 22 to firms trading on a “Dealing on Own Account” basis, as well as requiring the categorization of clients and counterparties into four distinct groups. Additionally, ESMA is considering switching the reporting format from XML to JSON and has solicited feedback from stakeholders on the feasibility, costs, and benefits of this change. The consultation aims to gather input before finalising and submitting the updated regulations for EU Commission approval.
