On 31 July 2019, the Financial Conduct Authority (FCA) has published the final guidance on cryptoassets in its Policy Statement PS19/22 to provide a better protection to market participants. The new guidance includes a revised assessment of the cryptoassets market and its distributed ledger technology (DLT) within the FCA’s regulatory perimeter. It also includes the requirements custodians wallet providers, exchanges and trading platforms need to consider when conducting activities. This guidance further provides an updated taxonomy creating an e-money token category that can fall within the scope of the E-Money Regulations (EMRs).
We are pleased this provides more certainty to the market and a formal position on cryptoassets by a leading and sophisticated financial regulator. We will be circulating further analysis on how this impacts various digital asset structures over the coming weeks. A direct link to the Police Statement can be found at here.