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Guernsey: crypto & digital assets regulation

Regulated

Guernsey VASP licensing under Proceeds of Crime Law 2007; GFSC oversight

Lead regulator:
Guernsey Financial Services Commission
Key law:
Proceeds of Crime (Bailiwick of Guernsey) Law 2007
Last updated:
2026-07-12

Virtual Asset Service Providers (VASPs) in Guernsey are regulated as 'specified businesses' under the Proceeds of Crime Law 2007, requiring registration with the Guernsey Financial Services Commission (GFSC). The regulatory framework mandates strict adherence to anti-money laundering, counter-terrorist financing, and counter-proliferation financing standards.

Recent updates to the GFSC Handbook on Countering Financial Crime have introduced specific rules for VASPs, including requirements for independent audit functions and enhanced business risk assessments. These measures align Guernsey's regime with international standards, particularly those set by the Financial Action Task Force (FATF).

The GFSC maintains active oversight through consultation papers and final guidance, ensuring that VASPs implement robust corporate governance and risk-based approaches. The jurisdiction continues to refine its regulatory expectations to address emerging risks in the digital asset sector.

Who regulates

  • Guernsey Financial Services Commission

    Primary supervisor for VASPs and specified businesses under the Proceeds of Crime Law

    [1][2][3][4][5][6][7]

Core laws & rules

  • Proceeds of Crime (Bailiwick of Guernsey) Law 2007 (2007)

    The core legislation designating VASPs as specified businesses subject to AML/CFT/CPF obligations and GFSC supervision.

    [5][6]

  • GFSC Handbook on Countering Financial Crime (AML/CFT/CPF) (2024/2026)

    Regulatory handbook establishing mandatory standards for specified businesses, including specific VASP rules and risk-based approaches.

    [1][4][7]

Licensing & registration

  • VASP Registration

    VASPs must register with the GFSC as specified businesses and comply with AML/CFT/CPF standards, including independent audits and risk assessments.

    [5][6][2]

Restrictions & warnings

  • Firms must implement a risk-based approach to corporate governance, customer due diligence, and transaction monitoring. Independent audit functions and enhanced business risk assessments are mandatory.

    [5][6][1]

Direction of travel

  • The GFSC continues to refine VASP regulations through consultations and updates to the Handbook, aligning with FATF guidance and addressing emerging risks in the digital asset sector.

    [2][3][8][9]

Sources

  1. Guernsey Financial Services Commission Handbook on Countering Financial Crime (AML/CFT/CPF) · 2026-07-07
  2. Record of Changes to the Handbook on Countering Financial Crime (AML/CFT/CPF) · 2026-07-07
  3. Record of changes to the Handbook on Countering Financial Crime (AML/CFT/CPF) · 2026-05-08
  4. Handbook on Countering Financial Crime (AML/CFT/CPF) · 2026-03-04
  5. Feedback on Consultation Regarding Amendments to Schedule 3 on Independent Audit, Business Risk Assessments and VASPs · 2025-05-08
  6. Feedback on Consultation regarding AMLCFT Obligations for VASPs and Licensed Trustees · 2025-05-08
  7. Guernsey Financial Services Commission Handbook on Countering Financial Crime (AML/CFT/CPF) · 2024-03-13
  8. FATF Guidance for a Risk-Based Approach to Virtual Currencies · 2020-01-08
  9. Guidance for a Risk-Based Approach to Virtual Assets and Virtual Asset Service Providers · 2020-01-08

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This guide is compiled automatically from 9 primary-source documents published by Guernsey's regulators, reviewed by RegAlert, and refreshed monthly (last updated 2026-07-12). It is not legal advice — always confirm requirements with the regulator or local counsel before acting.