The European Commission has adopted three more delegated acts under the Markets in Crypto-Assets regulation (MiCA), reports Global Regulation Tomorrow. The acts bring greater clarity to record keeping requirements for crypto asset service providers (CASPs), as well as to procedures for conflicts of interest for CASPs and issuers of asset-referenced tokens (ARTs).
Keep the record straight
Under MiCA, CASPs are required to keep records of all crypto asset services, activities, orders, and transactions in a “sufficiently detailed” manner, so as to enable competent authorities to perform their supervisory and enforcement responsibilities. With the adoption of the relevant delegated act, regulatory technical standards (RTS) developed by the European Securities and Markets Authority (ESMA), which “further specify” how record keeping is to be done, will come into force.
Conflict resolution
On the issue of conflicts of interest, CASPs are expected to “implement and maintain effective policies and procedures to identify, prevent, manage, and disclose” such instances, “as well as to make public those conflicts and the steps taken to mitigate them”. The additional RTS by ESMA “further specify the requirements for conflicts of interest policies and procedures” as well as the methodology for disclosing those conflicts.
The requirements for issuers of ARTs in instances of conflicts of interest are similar to those for CASPs. Here the RTS “also contain specific provisions related to personal transactions and provisions related to the remuneration procedures, policies and arrangements”.
