This Delegated Regulation establishes detailed requirements for financial entities intending to provide crypto-asset services in the EU, supplementing the main Markets in Crypto-Assets Regulation (MiCA). It specifies what information must be included in notifications to competent authorities when entities plan to offer crypto services.
The act has a comprehensive structure consisting of 12 articles that cover different aspects of crypto-asset service provision:
– Program of operations requirements (Art. 1)
– Business continuity planning (Art. 2)
– Anti-money laundering measures (Art. 3)
– ICT systems and security (Art. 4)
– Client asset segregation (Art. 5)
– Custody policies (Art. 6)
– Trading platform rules (Art. 7)
– Exchange services (Art. 8)
– Execution policies (Art. 9)
– Advisory services (Art. 10)
– Transfer services (Art. 11)
The main provisions require detailed documentation from service providers on:
– Organizational structure and business strategy
– Risk management and security systems
– Client asset protection measures
– Anti-money laundering controls
– IT infrastructure and cybersecurity
– Operating procedures for different types of crypto services
– Staff qualifications and training
The regulation aims to ensure crypto service providers have robust systems and controls in place before being authorized to operate. It requires comprehensive information disclosure to regulators while trying to avoid imposing unnecessary burdens on providers.
