According to the European Commission, 20 projects have been selected in the first cohort to receive legal advice and regulatory guidance, reports Cointelegraph.
Plans to set up a regulatory sandbox for blockchain technology were announced by the European Commission and the European Blockchain Partnership in 2020. The goal, according to the Commission, is to foster dialogue between regulators, crypto projects and public authorities.
“In these dialogues, use case developers can present their business case to receive legal guidance from regulators,” the European Commission said.
Also behind the initiative is Bird & Bird, a law firm with offices in Europe, Asia, the Americas and the Middle East. It will be responsible for setting up a “safe interface between developers and regulators,” providing legal advice and regulatory guidance to projects.
“The sandbox will allow supervisors to enhance their knowledge of cutting-edge technologies involving DLT [distributed ledger technology],” reads the statement, adding that lessons learned will be shared between regulators, helping the Commission to identify best practices.