CySEC has opened the doors for Crypto-Asset Service Providers (CASPs) to prepare for compliance under the Markets in Crypto-Assets Regulation (MiCAR)

How to Navigate CASP Applications Under MiCAR in Cyprus

The Cyprus Securities and Exchange Commission (CySEC) has opened the doors for Crypto-Asset Service Providers (CASPs) to prepare for compliance under the Markets in Crypto-Assets Regulation (MiCAR). Starting November 13, 2024, entities can submit preliminary applications and notifications for registration. This new framework enhances investor protection and establishes Cyprus as a trusted hub for regulated crypto-asset services.

📄 Read the official CySEC announcement here: CySEC CASP Announcement

What is MiCAR and Why is It Important for CASPs?

Adopted by the European Union in 2023, MiCAR introduces a comprehensive regulatory framework for crypto-assets. It aims to:

• Enhance transparency in crypto-asset services.
• Foster innovation while protecting investors.
• Ensure consistent regulation across EU member states.

For CASPs in Cyprus, this is a critical step toward building trust and long-term growth in the crypto-asset sector. CySEC’s early engagement with businesses underscores its commitment to a smooth transition to the new regulatory framework.

Preliminary Assessment Phase for CASP Registration

CySEC has introduced a preliminary assessment phase for applications to streamline the registration process ahead of MiCAR’s full implementation on December 30, 2024. This allows CASPs to:

• Submit their business models, policies, and procedures for review.
• Gain insights from CySEC on compliance requirements.
• Prepare for seamless integration into the MiCAR framework.

However, CySEC notes that applications submitted during this phase will not guarantee immediate review. Priority may be given to entities already registered with CySEC under National Rules.

Key Steps for CASPs Applying Under MiCAR

If you’re a CASP seeking to register with CySEC, here’s what you need to know:

1. Complete the Forms: Access the official notification and authorization forms on CySEC’s website.
2. Prepare Documentation: Ensure compliance with MiCAR’s technical standards, including anti-money laundering (AML) policies.
3. Pay Fees: Applications will only be considered “official” upon fee payment or December 30, 2024—whichever comes later.
4. Stay Updated: Monitor CySEC announcements for policy updates and deadlines.

Why Choose Cyprus for CASP Registration?

Cyprus has long been a leader in financial services and innovation, and MiCAR further cements its reputation as a premier destination for crypto-asset businesses. The island’s regulatory infrastructure, supported by CySEC, offers:

• A business-friendly environment.
• Clear and efficient compliance processes.
• Access to EU markets for crypto services.

Tashev Law: Your Partner in MiCAR Compliance

📞 Contact us today at +357 25 567778
🌐 Visit: www.tashevlaw.com

📄 For more details, read the CySEC announcement here: CySEC CASP Announcement