The European Central Bank (ECB) has expressed support for the European Commission's proposal to centralize financial regulation within the EU. The plan aims to transfer regulatory authority over cross-border financial institutions, including crypto asset service providers, from national regulators to the European Securities and Markets Authority (ESMA). This initiative seeks to integrate EU capital markets and enhance competitiveness. However, the ECB emphasizes the need for adequate staffing and funding for ESMA and stresses minimizing market disruptions during the regulatory transition.