Key deadlines for crypto-asset regulation are approaching, as Cyprus’ regulator announced that the EU’s Markets in Crypto-Assets Regulation (MiCAR) will take effect for service providers by December 2024, with registration closing by October. Providers already registered may operate until mid-2026 or until their authorization status is determined, marking a major shift in crypto compliance across Europe.
Cyprus SEC Implements EU MiCAR Crypto Regulation
The Cyprus Securities and Exchange Commission (CySEC) announced on Thursday that the Markets in Crypto-Assets Regulation (MiCAR) became applicable to issuers of asset-referenced and e-money tokens as of June 30, 2024, and will apply to crypto-asset service providers (CASPs) by Dec. 30, 2024. This update outlines key dates and requirements for those entities.
In its announcement, CySEC highlighted that CASPs registered under the national rules by Dec. 30, 2024, may continue operations until July 1, 2026, or until their authorization is granted or refused under Article 63 of MiCAR. The regulator stated:
The crypto-asset service providers that will be registered in the CASP Register in accordance with the provisions of National Rules before 30 December 2024, may continue to provide their services until 1 July 2026, or until they are granted or refused an authorisation pursuant to Article 63, whichever is sooner.
CySEC also noted that applications for authorization will be accepted after the European Commission publishes its final regulatory standards.
The regulator further announced that as MiCAR becomes applicable to CASPs on Dec. 30, 2024, it will no longer accept any registration applications under the national rules. CySEC detailed:
In view of MiCAR becoming applicable to CASPs on 30 December 2024, CySEC will no longer accept any applications for registration under the National Rules, as of the date of this Announcement.
Moreover, CySEC clarified that notifications under national rules for entities in the European Economic Area (EEA) must be submitted by Oct. 30, 2024. “In addition to the aforesaid, CySEC will cease to accept Notifications under National Rules by entities established in the European Economic Area (EEA) and which are registered with one or more EEA National Competent Authorities for the provision of crypto-asset services, on the 30th of October 2024.”
What do you think of CySEC’s announcement and the upcoming deadlines for MiCAR compliance? Let us know in the comments section below.