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In the scope of MiCAR, a whitepaper must be prepared for a public offering of asset-referenced tokens or their admission to trading. MiCAR already includes detailed information about its content. Even more specific information on the concrete structure will follow with the publication of ESMA’s regulatory technical standards.

MiCAR also provides rules on market abuse prevention in the crypto market. In this respect, the question arises whether MEV activities, transaction ordering and the use of flashbots in this context could be illegal under MiCAR.

In the scope of MiCAR, a whitepaper must be prepared for a public offering of crypto assets or their admission to trading. MiCAR already includes detailed information on its content. Even more specific information on the specific structure is expected to be provided with the publication of ESMA’s implementing technical standards.

Investment broking with crypto assets will be subject to licensing under MiCAR starting December 30, 2024. Will the liability umbrella model also exist under MiCAR and what are the requirements of an own MiCAR license?

ESMA specifies which ESG information should be included in a securities prospectus. BaFin will take this into account when deciding on the approval of securities prospectuses.

The placement of crypto assets for crypto asset service providers will be a regulated business activity under MiCAR. But what is the specific activity behind this crypto service?

Companies that currently act as tied agents to accompany the issuance of security tokens or crypto securities up to EUR 5 million via their own publicly accessible internet platform require a permit to do so under the ECSP Regulation.

In the future, anyone wishing to execute orders for crypto assets for clients in the EU will require a MiCAR license to do so. However, MiCAR provides for further regulatory obligations for crypto service providers in addition to the licensing requirement.

Artificial intelligence can also be used in the risk management of financial institutions. However, the ultimate responsibility for the use and its results always remains with the management.

MiCAR was published in the Official Journal of the EU last week. Until the rules on the regulation of crypto custodians apply, the German legislator will have to think about adapting or abolishing their national KWG regulation of crypto custodians.

The use of AI in asset management may constitute a financial or securities service in specific cases. In such cases, permission from BaFin is required.

The German Federal Ministry of Finance changed the national Travel of Crypto Assets Regulation on May 27, 2023. However, crypto service providers can still benefit from an exemption until the new EU Travel of Funds regulation comes into force.