Crypto

MiCAR provides a right of revocation for retail investors when purchasing certain crypto assets. However, it does not apply in all cases and is not fully comparable to the right of revocation known from consumer protection law. An overview.

MiCAR whitepapers must be published on the issuer’s website. If new price-relevant facts arise after the publication of the MiCAR whitepaper, the whitepaper must be updated.

According to MiCAR, e-money tokens will in future represent a specific form of crypto assets and will therefore also be regulated as such. Nevertheless, the legislator is trying to additionally squeeze e-money tokens into the traditional e-money regulation.

Founders in the crypto industry often ask themselves whether it is still worth applying for a BaFin authorization according to the KWG or the WpIG prior to the MiCAR coming into force. In most cases, the answer is a clear “yes”.

In the future, crypto asset service providers in the EU will have to obtain an authorization for their business in accordance with MiCAR. However, there are exceptions in this respect for banks and investment firms. The situation is somewhat more problematic for German crypto custodians.

Pursuant to the new MiCAR, crypto-asset offerors will be required to publish a comprehensive white paper prior to the public offering of the tokens or prior to a listing on a crypto trading platform. Which information must be set out in such white papers?

MiCAR is initially intended to regulate the crypto market only by imposing stricter rules and obligations on centrally acting players. DeFi models are generally not to be included. But when is a service really considered to be decentral in the sense of MiCAR?

Under the new MiCAR, crypto-asset service providers will in future have to obtain regulatory authorization before they are allowed to operate in the EU. What will be the requirements for a successful MiCAR authorization application?

The European and global Anti Money Laundering regulation works via preventive measures of central market actors. But crypto transactions can also be executed without the services of such service providers. Is the traditional regulatory approach still up to date?

Not only MiCAR will concern the European crypto industry over the next years. DORA will also be directly applicable to crypto service providers and token issuers alike. But what will be the implications for the industry?

 The German Bundestag passed the new Investment Firms Act (WpIG) on the 15th of April 2021. The new legislation is scheduled to go into effect on the 26th of July 2021 and is intended to implement the statutory requirements of the European Investment Firms Directive (IFD). The new law will exclude small and medium-sized investment […]

BaFin substantiated its administrative practice with regards to the obligations arising from the German Securities Trading Act (WpHG), the EU Commission’s Delegated Regulation EU 2017/565 (DV) and other regulations that are applicable to financial service providers with the Minimum Requirements for Compliance (MaComp). The publication provides supervised entities with information about the minimum requirements that […]