BaFin just published its “Guidelines on application for authorization for crypto custody business” shortly after the deadline for the so-called grandfathering option for crypto custodians expired. A summary:
In face of the COVID-19 pandemic, the German legislator quickly created the legal foundation to hold the annual shareholder meetings of German stock companies and conduct the voting within these meetings in a digital fashion. Is this the accelerator for the digitalization of the German corporate law?
The blockchain is not only suited for capital markets issuances but also for the digitalization of specific real-world objects. But can these so-called digital collectibles trigger regulatory banking or capital markets obligations?
Already since the beginning of the legislative process of introducing crypto custodian services into the German Banking Act (KWG) it was uncertain if these new financial service providers could safeguard security tokens, meaning digital securities, for their customers. BaFin finally answered that question in its new leaflet.
More and more tokenization projects for investment purposes are realized, but this does not always have to happen in the form of tokenized participation rights. In today’s blog article, FIN LAW comes up with an overview of the current possibilities for the tokenization of financial instruments.
The collection of funds at the capital markets via bonds can profit from a legal exemption that excludes the qualification of the collection as the banking activity of deposit business. But is this exemption also applicable to tokenized bonds?
Asset investments in accordance to the German Asset Investment Act become less and less common due to the comparable regulatory requirements with regards to securities. Tokenization could bring new life to this product class. A summary of possible advantages of tokenized asset investments.
Reporting is among the most important duties of all institutions being under supervision of BaFin and the German central bank. But what are the reporting obligations of licensed crypto custodians and are there differences between crypto custody service providers and other financial service institutions?
More and more central banks consider to issue digital forms of their currencies. So-called Central Bank Digital Currencies (CBCD) could play an interesting role in the crypto ecosystem. But what would be the possible effects that the introduction of CBCDs could have?