Regulatory Alerts2024-12-17
Final Report on Guidelines specifying certain requirements of the Markets in Crypto Assets Regulation (MiCA) on investor protection – third package
The European Securities and Markets Authority (ESMA) issued final guidelines to specify investor protection requirements under the Markets in Crypto Assets Regulation (MiCA) regarding suitability assessments and periodic statements for portfolio management services. These guidelines align MiCA suitability principles with MiFID II standards, requiring crypto-asset service providers to evaluate client knowledge, financial situation, and risk tolerance, while also clarifying that asset-referenced and electronic money tokens are generally considered safer than other crypto-assets. Additionally, ESMA established rules for the format and frequency of periodic portfolio statements and provided guidance on procedures for crypto-asset transfer services to ensure consistent application across the EU.