Fintech

EU crypto regulation: MICAR overview for issuers and crypto-asset service providers

Parts of MiCAR impacting the issuance, offering and admission to trading of stablecoins entered into force at the end of June 2024, while equivalent provisions for other crypto-assets, new licensing and conduct of business requirements for cryptoasset service providers, and a market abuse regime with respect to cryptoassets will apply from the end of the year. We look at what issuers of stablecoins and other crypto-assets, custodians and other crypto-asset service providers need to know now.

Read

From equivalence to recognition: the new UK approach to non-UK regulatory regimes (update)

HM Treasury has confirmed its new approach to designating countries and territories outside the UK for more favourable treatment under domestic regulatory regimes. The new approach allows HM Treasury to designate overseas jurisdictions where this is compatible with high-level regulatory objectives, such as the objective of facilitating UK competitiveness, without requiring the Treasury to determine whether the law and practice in the overseas jurisdiction is equivalent to that in the UK.

Read

Fintech

Property Rights Law in Digital Assets Under International Standards

Alex Tollast, Counsel in our Global Financial Markets (GFM) Group, Paris, has taken part in this hour-long session as part of the Practising Law Institute (PLI) "Property Rights in Digital Assets" series. The topic was "Property Rights Law in Digital Assets Under International Standards".

Read

Fintech

D'Aloia v persons unknown: crypto trusts, unjust enrichment and the challenges of tracing on the blockchain

The English courts have dealt with a steady stream of cases arising from crypto frauds and it has been through these cases that the law on digital assets has developed. Whilst many of the decisions in this area to date have been interlocutory, a recent judgment following a trial of claims against a crypto exchange is more significant.

Read

Fintech

Singapore Launches Digital Bond Grant Scheme

The Monetary Authority of Singapore (MAS) has introduced the Global-Asia Digital Bond Grant Scheme (G-ADBGS) on 15 January 2025 to promote the issuance and broader market adoption of digital bonds in Singapore. This initiative aims to enhance operational efficiency and reduce costs through the use of distributed ledger technology (DLT). The scheme is part of Singapore's broader strategy to position itself as a leading hub for digital finance.

Read

Fintech

FSTB and HKMA conclude market consultation and will implement new legislation to regulate certain stablecoin issuers in Hong Kong

This year is a landmark year for Hong Kong in the development of the regulatory regimes relating to stablecoins and virtual assets. We make some observations on the direction of travel.

Read

Banking & finance

Overview of the CFPB's Open Banking Proposal

On October 19, 2023, the Consumer Financial Protection Bureau issued a proposal on Personal Financial Data Rights (Proposed Rule), which implements section 1033 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Section 1033) and accelerates a shift to open banking in the United States. This is a meaningful development as the United States catches up to other jurisdictions around the world, including e.g., Europe and Australia, where open banking regulations came into force in 2019. Comments to the Proposed Rule are accepted through December 29, 2023, and the CFPB intends to finalize the regulation by Fall 2024

Read

Banking & finance

How to Manage AI-Specific Cybersecurity Risks in the Financial Services Sector: A Guide for Financial Institutions

Artificial intelligence (AI) is not a new phenomenon in the financial services sector. For decades, financial institutions (FIs) have used AI to automate processes, enhance customer service, detect and deter fraud, and optimize investment strategies. However, as AI becomes more advanced and ubiquitous, it also poses new and complex cybersecurity risks that require careful management and mitigation.

Read

Fintech

New rules on cryptoasset exposures of EU banks

The new EU banking package (CRR3/CRD6) amending the Capital Requirements Regulation and Directive (CRR/CRD) includes a transitional regime for the risk-weighting of EU banks' exposures to cryptoassets that will apply until new legislation implements the Basel Committee's standard on cryptoassets, as well as new provisions on the reporting, disclosure, governance and supervisory review of cryptoasset exposures.

Read

Fintech

CBDCs - a new type of intermediary

As the global thinking in respect of central bank digital currencies (CBDCs) evolves, models for public-private collaboration for distributing CBDCs are becoming clearer. This includes proposals by the Bank of England as well as the recent ground-breaking Project Sela from the Bank for International Settlements (BIS) Innovation Hub, the Bank of Israel and the Hong Kong Monetary Authority (HKMA), which aimed to reduce financial exposure for retail CBDC intermediaries by developing a model where they are not required to hold client assets.

Read

Fintech

Guide to arbitration of disputes relating to cryptoassets and smart contracts

Arbitration has many features that make it well suited to disputes relating to cryptoassets and smart contracts and it is fast becoming the dispute resolution option of choice in the crypto sector. The inherent flexibility of arbitration and party autonomy can help to address many of the unique technical challenges arising from cryptoassets. However, technology, unique procedural options and public policy issues also give rise to specific concerns when arbitration is used.

Read

Fintech

The developing regulatory landscape for cryptoassets in the EU and UK

The regulatory landscape for cryptoassets is set to change in both the EU and the UK, through the introduction of new, comprehensive regulatory frameworks for cryptoasset service providers. With MICA set to come into force in the EU, the UK is coming under some pressure to provide clarity on the scope of its new regime quickly, to provide firms with certainty they need and details of both regimes are yet to be fleshed out by regulators starting later in 2023.

Read

Fintech

Is the decentralised governance of Bitcoin really a myth?

The recent Court of Appeal decision in Tulip Trading Limited v van der Laan and Others [2023] EWCA Civ 83 has generated significant interest in the Bitcoin community and the wider digital asset sector. The claimant asks the English court to order software developers alleged to control various Bitcoin blockchains to modify source code to restore the claimant’s control over Bitcoin for which its private key has been stolen.

Read

Banking & finance

Banks' exposure to crypto – what do you need to know?

On 16 December 2022, the Basel Committee on Banking Supervision (BCBS) published a finalised prudential standard on banks' cryptoasset exposures (the Cryptoassets Standard) following two rounds of consultation. We look at what the final proposals say and the impact for market participants.

Read

Fintech

Updates on new VASP licensing regime in Amended AMLO

In this article we explore the key concepts under the Amended AMLO and outline the amended extended timeline for commencement of the licensing regime for VASPs.

HM Treasury consults on regulation of cryptoassets other than stablecoins

HM Treasury has proposed a comprehensive regulatory regime for firms engaging in certain cryptoasset activities. It is enabled by the addition of a new Clause 65 into the Financial Services and Markets Bill (FSMB), which will allow HM Treasury to expand the UK's regulated activities framework to encompass cryptoasset related activities.

Read

Fintech

DLT developments in debt capital markets

While 2022 brought challenging market conditions, it was an interesting year for innovation in the capital markets.. In this article, we look ahead to some of the key developments for 2023.

Read

Proposed UK market abuse regime for cryptoassets

The UK Treasury has released its consultation on the future financial services regime for cryptoassets, including a proposal for a cryptoasset market abuse regime.

Read

Fintech

Global Fintech Update

Our weekly global fintech round-up, summarises fintech regulatory developments that have happened around the world along with our Clifford Chance fintech publications and upcoming events

READ

Tech

Tech Policy Horizon Scanner

The Tech Policy Unit Horizon Scanner is our monthly dive into the key tech policy and legislative developments around the world.

READ

Fintech

Global Crypto Round-Up

This monthly newsletter provides you with a monthly brief into the world of digital assets, keeping you up to date with regulatory developments, publications and events from across jurisdictions.

READ