The Malta Financial Services Authority (“MFSA”) issued a consultation paper addressed to the financial services industry with regards to the Virtual Financial Assets Regulations to be issued under the Virtual Financial Assets Act (“VFA Act”)
The aim of the proposed Regulations is to safeguard financial stability, promote market integrity and ensure investor protection by introducing the following:
- Exemptions:
The
proposed Regulations will set out a list of persons who shall be exempt from
the requirement of a VFA services licence in terms of the VFA Act, some
exemptions may be automatically applicable, others will need to be notified to
the MFSA prior to their application, while others shall be subject to a
determination in writing by the MFSA. - Fees:
The
proposed Regulations will set out the respective application and supervisory
fees for licence holders of VFA Agents, which fees take into account the
respective risks posed. - Control of Assets:
The
proposed Regulations introduce additional requirements with respect to the
holding and/or controlling of clients’ monies and/or controlling assets. - Administrative Penalties and Appeal:
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 other administrative measures.
The consultation period is open to the public from the 4th July 2018 until the 20th July 2018.
Disclaimer
This document does not purport to give legal, financial or tax advice. Should you require further information or legal assistance, please do not hesitate to contact Dr. Katya Tua or Dr. Christina Scicluna.