Crypto News: Brussels Edition: Reining in Musk

Welcome to the Brussels Edition, Bloomberg's daily briefing on what matters most in the heart of the European Union.

In the turbulent months since Elon Musk bought Twitter, the threat of greater scrutiny has been looming, but the fear from some EU officials was that Twitter may not actually have enough users to fall under the enhanced set of rules imposed on social media companies by the bloc's Digital Services Act. Now, it appears it does. Twitter and the Commission are gearing up for the company to be designated a "very large online platform," according to people familiar with the matter. That means the company will have to report on how it's blocking harmful posts and could even be forced to change its algorithms. For Musk, it means his stripped-down company will be subject to a much more intrusive regulatory system and could face significant penalties if it doesn't comply.

— Jillian Deutsch and Max Ramsay

Tank Pressure | French President Emmanuel Macron is facing a conundrum: send tanks to Ukraine and face discontent at home and in the ranks of the French army, or fuel criticism abroad. While officials don't rule out Paris sending some modern Leclerc tanks to the eastern European country, they say the shipment would mostly be symbolic, as France needs the tanks for its own defenses and lacks spare parts for maintenance.

Shakeup Delayed | Changes to Ukraine's government, including the replacement of the defense minister, may be delayed as the country braces for a Russian offensive. The back-and-forth casts uncertainty over the fate of Oleksii Reznikov, who has been forced to defend his ministry against charges that officials had been skimming funds off military food supplies. The minister and his staff have denied the accusations.

Hikes Heralded | The ECB should actively fight inflation until people feel price stability in their everyday lives, according to Governing Council member Robert Holzmann. "Monetary policy must continue to show its teeth until we see a credible convergence to our inflation target," he said in Budapest. Speaking separately, Slovenian central bank chief Bostjan Vasle said rate hikes are "far from over." Latvian counterpart, Martins Kazaks, said only a "significant" data surprise can halt March's planned half-point increase.

Earthquake Response | The EU mobilized search and rescue teams for Turkey, according to a statement from foreign affairs chief Josep Borrell and Crisis Management Commissioner Janez Lenarcic. Some of the most powerful Middle East earthquakes in decades killed at least 4,000 people in Turkey and Syria. The EU said it's also ready to support those affected in Syria.

More Strikes | French labor unions are holding a third day of mass strikes and protests against raising the retirement age, keeping up pressure on the government as parliament debates the proposed reform. Widespread disruptions are expected in the transport system. The protestors want President Macron to back down on his proposal to raise the minimum retirement age from 62 to 64. A fourth day of protests is planned for Saturday.

Norwegian Aide | Norway is considering spending 75 billion kroner ($7.3 billion) over the next five years on assistance for Ukraine. Prime Minister Jonas Gahr Store discussed a plan with party leaders to grant 15 billion kroner a year for military and civilian support, he told us in a statement yesterday.

Record Rents | Rental prices in Spain have jumped to record levels, propelled by gains in the country's two largest cities as higher interest rates roil property markets across Europe. January rents in Barcelona soared 25% from a year ago and jumped 12% in Madrid, according to data published Monday by Idealista.

Russia's Revenues | Flows of Russia's seaborne crude rose for a fourth time last week to the highest level since June. But the combination of Europe's ban on imports — extended to Russian refined products on Sunday — and price caps on exports elsewhere has squeezed the Kremlin's earnings from its oil sales.

Citizenship Probe | Latvia's security services are probing whether sanctioned Russian billionaire Petr Aven should be stripped of his Latvian citizenship. The legislation, adopted in response to the invasion of Ukraine, allows authorities to revoke the citizenship of holders of more than one passport found to have supported genocide, crimes against peace, and threats to the territorial integrity and constitutional order of democratic states.

Saving Energy | Germany is in a "much better place" in terms of energy supply than six months ago but there's still an immediate need for households and companies to cut consumption, according to Franziska Brantner. The deputy economy minister warned in an interview with Bloomberg Television that falling prices may promote complacency and lead Germany to miss its target of curbing usage over the winter by a fifth.

Last year's landmark deal to reopen some Ukrainian ports for vital food exports included a requirement that joint teams from Ukraine, Russia, Turkey and the UN inspect each ship. The idea was to prevent unauthorized cargo or passengers from moving in and out. But Ukrainian traders and authorities say that Russia is purposefully slowing the pace by pushing the bounds of that mandate and limiting personnel.

All times CET.

EU External Action Service holds event on foreign information manipulation, foreign policy chief Borrell and VP Vera Jourova are among the speakers
EU-Moldova Association Council
NATO Secretary General Jens Stoltenberg begins three-day visit to Washington
EU competitiveness ministers hold informal meeting in Stockholm, with news conference around 2:15 p.m
Commissioner Ylva Johansson visits Port of Antwerp-Bruges, with a press conference at 3:45 p.m. on the EU fight against drug trafficking