The Malta Financial Services Authority ("MFSA") has issued a consultation paper with the Financial Services Industry with Regards to the Virtual Financial Assets Regulations to be Issued under the Virtual Financial Assets Act ("VFA Act") which complements the newly approved Bills on Virtual Financial Assets.
The aim behind the consultation paper is for the MFSA to obtain feedback from the industry on the proposed regulations which will be issued under the Virtual Financial Assets Act and will proposed to regulate the following:
The Regulations will set out a list of persons who shall be exempt from the requirement of a VFA Service in terms of the VFA Act, some exemptions may be automatically applicable while others may be subject to a determination in writing by the MFSA.
The proposed Regulations will set out the respective application and supervisory fees for license holders of VFA Agents, which fees take into account the respective risks posed.
- Control of
The proposed Regulations proposed introducing additional requirements with respect to the holding and/or controlling of clients' monies and/or controlling assets.
- Administrative Penalties and
Persons falling within the scope of the proposed Regulations who fail to comply with any of the provisions of the proposed Regulations will be subject to an administrative penalty and administrative measures
The consultation period is open to the public from the 4th July 2018 until the 20 July 2018. The aim of the proposed Regulations is to safeguard financial stability, promote market integrity and ensure investor protection.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.