ROMANIA Law and Practice Contributed by: Sergiu-Traian Vasilescu, Luca Dejan, Bogdan Rotaru and Ana-Maria Bută, VD Law Group
between local, national and supranational frame - works, which influence the compliance require - ments depending on the business model. AI The regulation of AI is guided primarily by the EU AI Act, which introduces a risk-based approach to the regulation of AI systems. The Act cate - gorises AI systems based on their risk levels, with specific obligations for high-risk applica - tions. Romania, as an EU member state, direct - ly applies these EU regulations but also aligns with national strategies and initiatives, includ - ing fostering AI innovation. In Romania, compli - ance with the EU AI Act is mandatory, although additional national policies may apply to specific industries such as banking, insurance or medical law where automatic decisions based on AI are restricted. PSPs PSPs in the EU are primarily regulated by PSD2, which harmonises the regulation of payments across the EU, focusing on improving payment security, promoting innovation and enhancing consumer protection. Romania enforces PSD2 under national law, in line with EU directives, and may also impose additional local licens - ing requirements for specific service providers. PSPs operating cross-border within the EU can benefit from the EU’s passporting mechanism, which allows firms licensed in one member state to provide services across other member states without needing separate licences. E-commerce E-commerce businesses in the EU must comply with the E-Commerce Directive (2000/31/EC), which regulates online services and market - places. This directive provides a framework for establishing liability exceptions for intermediary platforms. National laws, including Romania’s
E-commerce Law, align with the EU directive but may include additional consumer protection regulations or requirements specific to Romania. Regtech Regtech companies that provide technology- driven compliance solutions fall under the broader scope of financial services regulations, including AML and KYC regulations. In Roma - nia, the Anti-Money Laundering Law aligns with the EU’s 5th Anti-Money Laundering Directive (5AMLD). Regtech firms targeting financial insti - tutions must comply with both the EU regula - tions and local enforcement by Romania’s Finan - cial Supervisory Authority (ASF). Depending on the solution provided, regulatory compliance may vary, including data protection laws such Neo-banks operate under the same legal frame - work as traditional banks in the EU, primarily governed by the Capital Requirements Directive (CRD V) and PSD2. However, neo-banks may benefit from the EU’s Digital Banking Licence initiative, which facilitates a regulatory pathway for non-traditional banking models. Romania’s national financial regulatory body, ASF, applies these EU regulations at the local level, alongside any additional requirements for digital financial service providers. Tokenisation and Cryptocurrencies as the GDPR. Neo-Banking Tokenisation and cryptocurrency activities in the EU are regulated by the Markets in Crypto- Assets Regulation (MiCA), which aims to pro - vide a comprehensive regulatory framework for digital assets. MiCA will apply uniformly across EU member states, including Romania. How - ever, the legal treatment of crypto-assets may differ depending on whether they are classified as utility tokens, security tokens, or e-money.
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