Further to our previous update where we saw 4 Regulatory Technical Standards (RTS) under the Markets in Crypto-Assets Regulation (MiCA) coming into force, 5 new RTS and an Implementing Technical Standard (ITS) also coming into force:
1.RTS on information to be exchanged between competent authorities
This RTS enables competent authorities to freely exchange all information needed for cross‑border supervision, investigation and enforcement of crypto‑asset activities. For non-Asset Referenced Tokens (ARTs) and E-Money Tokens (EMTs), this includes technical specifications, white papers, issuer and offeror identities, and records of breaches, and penalties and enforcement actions. For ARTs, authorities must also share evidence of issuer authorisation, governance and prudential arrangements and any supervisory sanctions or compliance history. This ensures regulators across Member States have a unified, detailed view to safeguard market integrity.
2.RTS specifying the information to be included in an application for authorisation as a crypto-asset service provider (CASP)
This RTS mandates that mandates that applicants seeking authorisation as a CASP submit comprehensive information, including a three-year operational program, details of intended crypto-asset services, targeted client demographics, marketing strategies, resource allocations, outsourcing arrangements, and custody policies. It also requires specifics on trading platform operations and market abuse detection mechanisms. The RTS aims to enhance transparency, ensure regulatory compliance, and safeguard investor interests in the evolving crypto-asset sector.
This RTS mandates that any acquirer of a qualifying holding in an ART issuer must submit, at the time of notification, all detailed information necessary for the competent authority’s prudential assessment. Notifications shall include data on the acquirer’s management‑body members, indirect shareholders and ultimate beneficial owner.
This RTS, similarly to the detailed content of information necessary to carry out the assessment of a proposed acquisition of a qualifying holding in an ART issuer, mandates that any proposed acquirer of a qualifying holding in a CASP must submit, at the time of notification, all information necessary for the competent authority’s prudential assessment. Notifications shall include data on the acquirer’s management‑body members, indirect shareholders and ultimate beneficial owner.
Crypto‑asset transactions and issuance rely on consensus mechanisms, distributed‑ledger rules requiring materials and computing power that entail climate and environmental impacts varying by DLT design. This RTS identifies and discloses these adverse impacts and is therefore essential for informed investor decision‑making. Given the difficulty of obtaining fully accurate data in a distributed system, a standardised list of accessible, reliable indicators should be developed to ensure information is understandable and comparable. To maintain consistency across crypto‑asset white papers and service‑provider websites, these disclosure requirements should be regulated by a single, coherent Regulation.
This ITS mandates that competent authorities shall appoint and publish a dedicated contact point for receiving CASP applications. Applicants shall ensure that all submitted information is true, accurate, complete and up‑to‑date from the moment of submission until authorisation, with any future‑dated data clearly identified. Authorities are required to acknowledge receipt of each application and provide the applicant with the contact details of the responsible processing officer or function. It is to be noted that this ITS comes into force a day after the RTSs referenced above.
(Prospective) CASPs and ART issuers should thus take note as the requirements set out in these RTSs and ITS have become applicable and include important provisions both at authorisation stage and thereafter.
For any further information or assistance, please contact us at info@gtg.com.mt
Authors: Dr Cherise Abela Grech & Dr Neil Gauci