Law on Crypto-Asset Markets

LAW on Crypto-Asset Markets Pub. - State Gazette, No. 54 of 04.07.2025; am. and supp., No. 67 of 15.08.2025; am. and supp., No. 25 of 10.03.2026

Chapter One GENERAL PROVISIONS

Art. 1. (1) This Law regulates the conditions and procedures for the public offering of crypto-assets and their admission to trading on a crypto-asset trading platform, the licensing and state supervision over issuers of crypto-assets and providers of crypto-asset services.

(2) This Law shall not apply to issuers of electronic money tokens and supervision over them, except for the requirements related to the implementation of Title VI of Regulation (EU) 2023/1114 of the European Parliament and of the Council of 31 May 2023 on markets in crypto-assets, amending Regulations (EU) No 1093/2010 and (EU) No 1095/2010 and Directives 2013/36/EU and (EU) 2019/1937 (OJ, L 150/40 of 9 June 2023), hereinafter referred to as "Regulation (EU) 2023/1114".

Art. 2. The purpose of this Law is:

1. to ensure the protection of the interests of holders of crypto-assets and of clients of providers of crypto-asset services;
2. to provide conditions for the development of a transparent and efficient crypto-asset market;
3. to maintain stability, transparency and trust in the crypto-asset market;
4. to create conditions for supporting innovation and fair competition in the field of crypto-asset markets.

Art. 3. (1) The Commission for Financial Supervision, hereinafter referred to as "the Commission", exercises supervision over compliance with the requirements of Regulation (EU) 2023/1114, this Law and the implementing acts thereof and is the competent authority within the meaning of Art. 93 of Regulation (EU) 2023/1114, except for cases that are within the explicit competence of the Bulgarian National Bank.

(2) The Commission is the competent authority for cooperation within the meaning of Art. 96 of Regulation (EU) 2023/1114 with the European Banking Authority and the European Securities and Markets Authority.

(3) The Commission exercises the powers of the competent authority under Art. 7, paragraphs 3 and 4, Art. 8, paragraphs 6 and 7, Art. 12, paragraph 5, Art. 17, paragraphs 3, 5 and 6, Art. 18, paragraph 4, Art. 20, paragraphs 2, 4 and 5, Art. 21, paragraphs 1, 2 and 4 - 6, Art. 22, paragraphs 2 and 4, Art. 24, paragraphs 1, 2, 3 and 5, Art. 25, paragraph 2, first sentence of paragraph 4, and paragraphs 3 - 5, Art. 35, paragraphs 3 and 4, Art. 41, paragraphs 4, 6 and 8, Art. 42, paragraph 2, Art. 43, paragraphs 4, 5 and 8, Art. 44, Art. 46, paragraphs 4 and 5, Art. 47, paragraph 4, Art. 59, paragraph 8, Art. 63, paragraphs 3, 5, 6, 8 - 10 and 12, Art. 64, paragraphs 1, 2, 4 and 6, Art. 65, paragraphs 2 and 3, Art. 83, paragraphs 4, 5, 7 and 9, Art. 84, paragraphs 1 and 2, Art. 88, paragraph 3, Art. 92, paragraph 1 and Art. 105, paragraphs 1 - 6 of Regulation (EU) 2023/1114 upon proposal of the Vice-Chairman of the Commission, heading the "Supervision of Investment Activity" Department, hereinafter referred to as "the Vice-Chairman".

(4) The Vice-Chairman exercises all powers of the competent authority under Regulation (EU) 2023/1114, except for those that are within the explicit competence of the Commission.

(5) All notifications and provision of information to the competent authority under this Law in accordance with Regulation (EU) 2023/1114 shall be made to the Commission.

Art. 4. The white papers for crypto-assets offered in the territory of the Republic of Bulgaria, including their summaries, marketing communications and the rules for the management of crypto-asset trading platforms, shall be drawn up and submitted in Bulgarian or in a language commonly used in the field of international finance.

Chapter Two CRYPTO-ASSETS OTHER THAN ASSET-REFERENCED TOKENS OR ELECTRONIC MONEY TOKENS

Art. 5. (1) In the public offering and/or admission to trading of crypto-assets other than asset-referenced tokens or electronic money tokens, the offerors, the persons seeking admission to trading, and respectively the operators of crypto-asset trading platforms other than asset-referenced tokens or electronic money tokens, shall provide the Commission with the white paper for the crypto-asset together with an explanation in accordance with the requirements of Regulation (EU) 2023/1114.

(2) Persons carrying out the public offering of crypto-assets other than asset-referenced tokens or electronic money tokens, or applying for their admission to trading, shall also comply with the requirements of the applicable guidelines adopted by the European Securities and Markets Authority and the European Banking Authority, for which the Commission has taken a decision on their application in accordance with Art. 13, para. 1, item 26 of the Law on the Commission for Financial Supervision.

(3) The Commission publishes on its website an electronic link to the register of the European Securities and Markets Authority under Art. 109 of Regulation (EU) 2023/1114.

Art. 5a. (New - SG, No. 25 of 2026) (1) Issuers of crypto-assets other than asset-referenced tokens or electronic money tokens shall at all times have a personal profile registered in the information system for secure electronic delivery as a module of the Portal of Electronic Government within the meaning of the Electronic Governance Act.

(2) An issuer of crypto-assets other than asset-referenced tokens or electronic money tokens shall notify the Commission of its profile through the system under para. 1 within a 7-day period from the registration of the profile.

Chapter Three ASSET-REFERENCED TOKENS

Section I Issuance, refusal and withdrawal of license for the public offering of asset-referenced tokens and for their admission to trading

Art. 6. (1) The licensing and supervision of persons carrying out the public offering of asset-referenced tokens, or seeking their admission to trading, shall be carried out in accordance with Regulation (EU) 2023/1114, this Chapter and the implementing acts thereof.

(2) The Commission shall take a decision on the issuance, refusal to issue or withdrawal of a license for the public offering of asset-referenced tokens and for their admission to trading, except in cases where an issuer of an asset-referenced token is a credit institution, under the conditions and procedures of Regulation (EU) 2023/1114, this Chapter and the implementing acts thereof.

(3) A credit institution may publicly offer asset-referenced tokens and apply for their admission to trading after obtaining from the Commission approval of the white paper in accordance with Art. 17, para. 1, letter "a" of Regulation (EU) 2023/1114 and confirmation of the completeness of the notification under Art. 17, para. 1, letter "b" of Regulation (EU) 2023/1114.

Art. 7. Persons carrying out the public offering of asset-referenced tokens, or applying for their admission to trading, shall also comply with the requirements of the applicable guidelines adopted by the European Securities and Markets Authority and the European Banking Authority, for which the Commission has taken a decision on their application in accordance with Art. 13, para. 1, item 26 of the Law on the Commission for Financial Supervision.

Section II Carrying out of activity by issuers of asset-referenced tokens

Art. 8. Issuers of asset-referenced tokens and the members of their management and supervisory bodies, when carrying out and managing their activity as issuers of asset-referenced tokens, shall apply and comply with the requirements of Regulation (EU) 2023/1114, this Law and the implementing acts thereof, as well as the applicable guidelines adopted by the European Securities and Markets Authority and the European Banking Authority, for which the Commission has taken a decision on their application in accordance with Art. 13, para. 1, item 26 of the Law on the Commission for Financial Supervision.

Art. 8a. (New - SG, No. 25 of 2026) (1) Issuers of asset-referenced tokens shall at all times have a personal profile registered in the information system for secure electronic delivery as a module of the Portal of Electronic Government within the meaning of the Electronic Governance Act.

(2) An issuer of asset-referenced tokens shall notify the Commission of its profile through the system under para. 1 within a 7-day period from the registration of the profile.

Art. 9. (1) Issuers of asset-referenced tokens shall notify the Commission of the circumstances under Art. 25 of Regulation (EU) 2023/1114, which require the issuance of approval for amendments to the published white paper regarding asset-referenced tokens, under the conditions and procedures of Art. 25, paragraphs 1 and 2 of Regulation (EU) 2023/1114.

(2) The Commission, upon proposal of the Vice-Chairman, shall approve or refuse to approve the draft amended white paper for the respective crypto-asset within the period under Art. 25, para. 2, first sentence of para. 4 of Regulation (EU) 2023/1114.

Art. 10. (1) The direct and indirect acquisitions of and releases from qualified participations in issuers of asset-referenced tokens, excluding issuers that are credit institutions, and respectively the increases or decreases of such qualified participations, shall be carried out under the conditions and procedures of Art. 41 and 42 of Regulation (EU) 2023/1114 and the implementing acts thereof.

(2) The proceedings for the assessment of proposals for the acquisition and increase of a qualified participation shall be initiated before the Commission with the submission of the notification under Art. 41, para. 1 of Regulation (EU) 2023/1114.

(3) The Commission, upon proposal of the Vice-Chairman, shall assess the notification under para. 2 under the conditions and procedures of Art. 41 and 42 of Regulation (EU) 2023/1114 and the implementing acts thereof.

Art. 11. (1) The Commission, upon proposal of the Vice-Chairman, in accordance with the requirements of Regulation (EU) 2022/2554 of the European Parliament and of the Council of 14 December 2022 on digital operational resilience for the financial sector and amending Regulations (EC) No 1060/2009, (EU) No 648/2012, (EU) No 600/2014, (EU) No 909/2014 and (EU) 2016/1011 (OJ, L 333/1 of 27 December 2022), hereinafter referred to as "Regulation (EU) 2022/2554", and the implementing acts thereof, shall take decisions on determining the issuers of asset-referenced tokens to carry out penetration testing, on confirming the scope of the testing and on approving the use of internal persons conducting testing, as well as on requiring a change, if necessary, in the frequency of carrying out testing.

(2) The Commission, upon proposal of the Vice-Chairman, shall take a decision that the testing under para. 1 has been carried out in accordance with the requirements of Regulation (EU) 2022/2554, the implementing acts thereof and the testing documentation, and shall issue a certificate of its confirmation or determine the carrying out of re-testing.

(3) The Commission shall adopt a regulation for the implementation of this Article.

Section III Asset Reserve

Art. 12. Issuers of asset-referenced tokens shall establish, maintain and manage a separate asset reserve for each asset-referenced token, complying with the requirements of Art. 36 - 40 of Regulation (EU) 2023/1114.

Art. 13. Forced execution against property included in the asset reserve under Art. 12 shall not be permitted for the obligations of the issuer of the asset-referenced token, except for obligations to the holders of that token.

Chapter Four PROVIDERS OF CRYPTO-ASSET SERVICES

Section I Issuance, refusal and withdrawal of license for a provider of crypto-asset services

Art. 14. (1) The licensing and supervision of persons carrying out activity as providers of crypto-asset services shall be carried out in accordance with Regulation (EU) 2023/1114, this Chapter and the implementing acts thereof.

(2) The Commission shall take a decision on the issuance, expansion of scope, refusal to issue or withdrawal of a license, except in cases where a provider of crypto-asset services is a person under Art. 59, para. 1, letter "b" of Regulation (EU) 2023/1114, under the conditions and procedures of the same Regulation, this Chapter and the implementing acts thereof.

(3) Persons under Art. 59, para. 1, letter "b" of Regulation (EU) 2023/1114 may carry out activity as providers of crypto-asset services after submitting a notification with the information under Art. 60, para. 7 of the same Regulation and confirmation from the Commission of its completeness.

Art. 15. (1) Proceedings for the issuance, and respectively expansion of the scope of a license under Art. 14, para. 2, shall be initiated before the Commission with the submission of an application for the issuance of a license under Art. 62 of Regulation (EU) 2023/1114, and respectively with the submission of a request for expansion of the scope of the license under Art. 59, para. 8 of the same Regulation.

(2) The Commission, upon proposal of the Vice-Chairman, shall issue a license, and respectively expand the scope of the license for the provision of crypto-asset services, by reasoned decision, under the conditions and procedures of Art. 63 of Regulation (EU) 2023/1114, this Chapter and the implementing acts thereof.

(3) The person who has received a license to carry out activity as a provider of crypto-asset services, and respectively the person under Art. 14, para. 3, shall submit an application to the Registry Agency for the registration of the specified activity in its object of activity within a period of up to 7 days from the receipt of the license, and respectively after receiving the confirmation from the Commission.

(4) The Registry Agency shall register in the Commercial Register the right of the person to carry out activity as a provider of crypto-asset services in its object of activity, after the issuance of the license from the Commission, and respectively the confirmation, is presented to it.

(5) The Commission, upon proposal of the Vice-Chairman, shall refuse the issuance of a license, and respectively refuse the expansion of the scope of the license for the provision of crypto-asset services, by reasoned decision, under the conditions and procedures of Art. 63 of Regulation (EU) 2023/1114, this Chapter and the implementing acts thereof.

(6) The Commission, upon proposal of the Vice-Chairman, shall withdraw the issued license for the provision of crypto-asset services by reasoned decision when any of the grounds under Art. 64, para. 1 of Regulation (EU) 2023/1114 exists.

(7) The Commission, upon proposal of the Vice-Chairman, may withdraw the issued license for the provision of crypto-asset services by reasoned decision if any of the grounds under Art. 64, para. 2 of Regulation (EU) 2023/1114, this Law and the implementing acts thereof exists.

Section II Carrying out of activity as a provider of crypto-asset services

Art. 16. (1) Providers of crypto-asset services shall at all times comply with the organizational and operational requirements imposed on them in accordance with Regulation (EU) 2023/1114, this Chapter and the implementing acts thereof.

(2) Providers of crypto-asset services shall also comply with the requirements of the applicable guidelines adopted by the European Securities and Markets Authority and the European Banking Authority, for which the Commission has taken a decision on their application in accordance with Art. 13, para. 1, item 26 of the Law on the Commission for Financial Supervision.

Art. 16a. (New - SG, No. 25 of 2026) (1) Providers of crypto-asset services shall at all times have a personal profile registered in the information system for secure electronic delivery as a module of the Portal of Electronic Government within the meaning of the Electronic Governance Act.

(2) A provider of crypto-asset services shall notify the Commission of its profile through the system under para. 1 within a 7-day period from the registration of the profile.

Art. 17. (1) The members of the management body of providers of crypto-asset services and the persons who manage their activity, the shareholders or the persons who have direct or indirect qualified participation in the provider of crypto-asset services, shall at all times meet the requirements under Art. 68 of Regulation (EU) 2023/1114.

(2) A person under para. 1 must:

1. not have been convicted of an intentional crime of general nature, unless rehabilitated;
2. not have been a member of a management or supervisory body or an unlimited partner in a company for which bankruptcy proceedings have been opened, or in a company terminated due to bankruptcy in the last two years preceding the date of the decision declaring bankruptcy, if creditors remain unsatisfied; this restriction ceases to apply with the expiration of a 5-year period from the termination of the company due to bankruptcy;
3. not have been declared bankrupt or not be in proceedings for declaration of bankruptcy; this restriction ceases to apply with the expiration of a 5-year period from the termination of the company due to bankruptcy;
4. not be deprived of the right to hold a position of material responsibility or to carry out professional activity;
5. not fall within the restrictions on holding senior management positions under Art. 124 of the Law on Measures against Money Laundering;
6. not have been, in the last two years prior to the act of the respective competent authority, a member of a management or supervisory body of a company, the license for carrying out activity subject to licensing by the Commission or the Bulgarian National Bank, or by the respective authority of another country, has been withdrawn, except in cases where the license was withdrawn at the request of the company, as well as when the act on the withdrawal of the issued license has been annulled in due course, as well as when more than 5 years have passed since the entry into force of the act on the withdrawal of the license;
7. not have been imposed with final administrative penalties during the last 5 years for a gross or systematic violation of this Law, the Law on Markets in Financial Instruments, the Law on the Public Offering of Securities, the repealed Law on Companies with Special Investment Purpose, the Law on Companies with Special Investment Purpose and for Securitization Companies, the Law on the Activity of Collective Investment Schemes and other Collective Investment Undertakings, the Law on the Implementation of Measures against Market Abuse with Financial Instruments, the Law on Credit Institutions, the Law on Payment Services and Payment Systems, the Insurance Code, the Social Security Code, Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (Market Abuse Regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC (OJ, L 173/1 of 12 June 2014), Regulation (EU) 2019/2033 of the European Parliament and of the Council of 27 November 2019 on prudential requirements for investment intermediaries and amending Regulations (EU) No 1093/2010, (EU) No 575/2013, (EU) No 600/2014 and (EU) No 806/2014 (OJ, L 314/1 of 5 December 2019), Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and amending Regulation (EU) No 648/2012 (OJ, L 176/1 of 27 June 2013), Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Regulation (EU) No 648/2012 (OJ, L 173/84 of 12 June 2014), Regulation (EU) 2023/1113 of the European Parliament and of the Council of 31 May 2023 on information accompanying transfers of funds and certain transfers of crypto-assets, and amending Directive (EU) 2015/849 (OJ, L 150/1 of 9 June 2023), hereinafter referred to as "Regulation (EU) 2023/1113", or the implementing acts thereof, or the respective legislation of another country;
8. not have been dismissed from a management or supervisory body of a company under this Law, the Law on Markets in Financial Instruments, the Law on the Public Offering of Securities, the repealed Law on Companies with Special Investment Purpose, the Law on Companies with Special Investment Purpose and for Securitization Companies, the Law on the Activity of Collective Investment Schemes and other Collective Investment Undertakings, the Law on Credit Institutions, the Law on Payment Services and Payment Systems, the Insurance Code, the Social Security Code or the respective legislation of another country, based on an applied compulsory administrative measure, except in cases where the act has been annulled in due course;
9. based on the collected data about him and his associated persons, as well as for the links between them, not give grounds for doubt regarding his reliability and suitability, and possibility of a conflict of interest.

(3) The requirements under para. 2 shall also apply to natural persons other than the persons under para. 1, who are identified as beneficial owners of a provider of crypto-asset services, as well as to natural persons who are appointed as representatives of a legal entity - a member of the management body of a provider of crypto-asset services.

(4) The requirements of paras. 1 - 3 shall not apply to providers of crypto-asset services under Art. 14, para. 3.

Art. 18. (1) The direct and indirect acquisitions of and releases from qualified participations in providers of crypto-asset services, excluding providers under Art. 14, para. 3, and respectively the increases or decreases of such qualified participations, shall be carried out under the conditions and procedures of Art. 83 and 84 of Regulation (EU) 2023/1114.

(2) The proceedings for the assessment of proposals for the acquisition of a qualified participation shall be initiated before the Commission with the submission of the notification under Art. 83, para. 1 of Regulation (EU) 2023/1114.

(3) The Commission, upon proposal of the Vice-Chairman, shall assess the proposal for acquisition under para. 2 under the conditions and procedures of Art. 83 and 84 of Regulation (EU) 2023/1114 and the implementing acts thereof.

Art. 19. (1) The Commission, upon proposal of the Vice-Chairman, in accordance with the requirements of Regulation (EU) 2022/2554 and the implementing acts thereof, shall take decisions on determining the providers of crypto-asset services, excluding providers under Art. 14, para. 3, to carry out penetration testing, on confirming the scope of the testing and on approving the use of internal persons conducting testing, as well as on requiring a change, if necessary, in the frequency of carrying out testing.

(2) The Commission, upon proposal of the Vice-Chairman, shall take a decision that the testing under para. 1 has been carried out in accordance with the requirements of Regulation (EU) 2022/2554, the implementing acts thereof and the testing documentation, and shall issue a certificate of its confirmation or determine the carrying out of re-testing.

(3) The Commission shall adopt a regulation for the implementation of this Article.

Section III Information accompanying transfers of certain crypto-assets

Art. 20. (1) The Commission and the Vice-Chairman shall exercise control over compliance with the requirements of Chapters I, III, V and IX of Regulation (EU) 2023/1113 in connection with the transfers of crypto-assets.

(2) The Commission is the competent authority for cooperation within the meaning of Art. 27 of Regulation (EU) 2023/1113.

(3) All notifications and provision of information to the competent authority, provided for in Chapters I, III, V and IX of Regulation (EU) 2023/1113 in connection with the transfer of crypto-assets, shall be made to the Commission.

Art. 21. Providers of crypto-asset services, when fulfilling the requirements of Regulation (EU) 2023/1113, shall also comply with the applicable guidelines adopted by the European Banking Authority, for which the Commission has taken a decision on their application in accordance with Art. 13, para. 1, item 26 of the Law on the Commission for Financial Supervision, as additional requirements may be determined by regulation.

Chapter Five COOPERATION AND EXCHANGE OF INFORMATION

Art. 22. (1) The Commission shall notify the Bulgarian National Bank of the measures under Art. 46, paragraphs 3 and 4 of Regulation (EU) 2023/1114, applied with regard to a credit institution.

(2) The Commission shall notify the Bulgarian National Bank of the application of a compulsory administrative measure p