CBB issued, for consultation, the draft rules for crypto-asset platform operators (Module CPO). The rules offer a regulatory framework for the licensing and supervision of crypto-asset services, including those provided by a platform operator as a principal, agent, and custodian, within or from the Kingdom of Bahrain. CBB is seeking feedback on the consultation by January 13, 2019.
The regulatory framework covers licnese application requirements, the conditions for the issuance of the license, capital requirements, measures to safeguard client or customer interests, and technology standards, particularly the cyber security risk management measures, reporting, and other requirements. Realizing the growing demand for the crypto-asset market globally and regionally, CBB is introducing this comprehensive risk-based framework to regulate this area of financial services. Following the recent issuance of the final rules on open banking, CBB continues to introduce initiatives that support the development of a more efficient financial services sector, driven by an environment in which innovation can thrive.
Comment Due Date: January 13, 2019
Keywords: Middle East and Africa, Bahrain, Banking, Crypto-Assets, Regulatory Framework, Regtech, Capital Requirements, Licensing Applications, CBB
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