FCA Consults on Guidance on Cryptoasset Activities It Regulates
FCA is consulting (CP19/3) on a guidance, which, once finalized, will set out the cryptoasset activities it regulates. Comment period on this consultation ends on April 05, 2019.
The guidance will help firms understand whether their cryptoasset activities fall under FCA regulation. The guidance is also intended to provide firms with a better understanding of whether they need to be authorized and can help the firms to ensure that they are compliant and have appropriate consumer safeguards in place. The consultation is in response to industry request for greater clarity and to the Cryptoasset Taskforce’s recommendation that FCA provide additional guidance on the existing regulatory perimeter. This consultation is an important first step in delivering the outcomes of the Cryptoasset Taskforce as well as in the FCA work to address the harms from cryptoassets and encourage innovation in the interest of consumers.
This guidance applies to firms issuing or creating cryptoassets, firms marketing cryptoasset products and services, firms buying or selling cryptoassets, firms holding or storing cryptoassets, financial advisers, professional advisers, investment managers, recognized investment exchanges, and consumers and consumer organizations. The guidance also covers security tokens and utility tokens, with the consultation paper setting out where tokens are likely to be:
- Specified investments under the Regulated Activities Order
- Financial instruments under the Markets in Financial Instruments Directive II
- E-Money under the e-money regulations
- Captured under the payment services regulations
FCA will publish its feedback and the final text of this guidance in summer 2019. Later this year, FCA is also expected to consult on banning the sale of derivatives linked to certain types of cryptoassets to retail investors. The government is planning to consult on whether to expand the regulatory perimeter to include further cryptoassets activities.
Related Links
Comment Due Date: April 05, 2019
Keywords: Europe, UK, PMI, Banking, Securities, Crypto Assets, Regtech, Fintech, FCA
Previous Article
FCA Proposes Amendments to SM&CR for Banks and InsurersRelated Insights
|
News
US Agencies Extend Consultation Period for the Proposed SA-CCRUS Agencies (FDIC, FED, and OCC) extended the comment period for a proposed rule to update their standards for how firms measure counterparty credit risk posed by derivative contracts.
February 18, 2019
WebPage
Regulatory News
|
|
News
FED Extends Consultation Period for Stress Testing RuleFED has published in the Federal Register a notice proposing amendments to the company run and supervisory stress test rules.
February 15, 2019
WebPage
Regulatory News
|
|
News
EBA Single Rulebook Q&A: Third Update for February 2019EBA published answers to two questions under the Single Rulebook question and answer (Q&A) updates for this week.
February 15, 2019
WebPage
Regulatory News
|
|
News
FSB Report Examines Financial Stability Implications of FintechFSB published a report that assesses fintech-related market developments and their potential implications for financial stability.
February 14, 2019
WebPage
Regulatory News
|
|
News
US Agencies Amend Regulatory Capital Rule to Allow Phase-In for CECLUS Agencies (FDIC, FED, and OCC) adopted the final rule to address changes to credit loss accounting under the U.S. generally accepted accounting principles; this includes banking organizations’ implementation of the current expected credit losses (CECL) methodology.
February 14, 2019
WebPage
Regulatory News
|
|
News
FED Issues Correction in Historical Dataset in its 2019 Stress TestsFED identified an error in the historical dataset used in its 2019 stress tests and issued a correction.
February 13, 2019
WebPage
Regulatory News
|
|
News
OCC Consults on Company-Run Stress Test Requirements for BanksOCC proposed amendments to its company-run stress testing requirements for national banks and Federal savings associations, consistent with section 401 of the Economic Growth, Regulatory Relief, and Consumer Protection (EGRRCP) Act.
February 12, 2019
WebPage
Regulatory News
|
|
News
CFTC Extends Comment Periods for Trade Execution Requirement ProposalsCFTC announced that it is extending comment period for the proposed amendments related to the regulations on swap execution facilities (SEF) and trade execution requirement.
February 12, 2019
WebPage
Regulatory News
|
|
News
BCBS Updates Instructions for Basel III Monitoring ExerciseBCBS updated instructions for Basel III monitoring for the collection of December 2018 data from the participating banks.
February 12, 2019
WebPage
Regulatory News
|
|
News
OCC Proposes to Renew Information Collection Under Stress Test RuleOCC is proposing to renew its information collection titled “Annual Stress Test Rule” (OMB Control No: 1557-0311). Comments must be received on or before March 13, 2019.
February 11, 2019
WebPage
Regulatory News
|
