Menü
 |FinTech MiCAR

MiCAR

Regulation (EU) 2023/1114 on markets in crypto-assets (MiCAR) entered into force on June 29, 2023 and will be fully applicable within the EU from December 30, 2024. The aim of this set of rules is to create a harmonized legal framework for persons operating in the primary and secondary markets for crypto assets.

MiCAR will become directly applicable in Liechtenstein as soon as the corresponding decision of the EEA Joint Committee to incorporate the regulation into the EEA Agreement enters into force. The necessary transposition into Liechtenstein law will take place through the Act on the Implementation of Regulation (EU) 2023/1114 on Markets in Crypto-assets (EEA MiCAR Implementation Act, EEA MiCAR-DA), which is currently in the legislative process and is scheduled to enter into force on February 1, 2025.  

 

Regulated activities

The following activities are regulated under MiCAR:

  • The public offering as well as the application for admission to trading of asset-referenced tokens (ART). This activity is reserved for authorized credit institutions or persons with a license pursuant to Art. 21 MiCAR.
  • The public offering and application for authorization to trade e-money tokens (referred to as “EMT”). This activity is reserved for authorized credit and e-money institutions.
  • The public offering and application for admission to trading of crypto-assets other than ART and EMT. This activity is possible without authorization as long as the requirements of Art. 4 et. seq. MiCAR are met.
  • The provision of crypto services (so-called crypto-asset service providers, referred to as “CASPs”). These services are reserved for the financial companies listed in Art. 59 para. 1 lit. b MiCAR in accordance with Art. 60 MiCAR and persons with a license in accordance with Art. 63 MiCAR. The term "crypto asset services" covers the following activities:
    • providing custody and administration of crypto-assets on behalf of clients;
    • operation of a trading platform for crypto-assets;
    • exchange of crypto-assets for funds;
    • exchange of crypto-assets for other crypto-assets;
    • execution of orders for crypto-assets on behalf of clients;
    • placement of crypto-assets;
    • reception and transfer of orders for crypto-assets on behalf of clients;
    • providing advice on crypto-assets;
    • providing portfolio management on crypto-assets;
    • providing transfer services for crypto-assets on behalf of clients.
       

Relationship of crypto asset services to the TVTG

MiCAR covers activities and services that are currently largely regulated by the nationally applicable TVTG. TT service providers that fall under the MiCAR regime in the future may continue to carry out their activities in accordance with the TVTG during the transitional period, which is expected to last until December 31, 2025. It should be noted that cross-border activities in the EEA (so-called passporting) will only be possible once MiCAR has been incorporated into the EEA Agreement and a MiCAR license has been obtained.

Registered TT service providers must therefore obtain an authorization in accordance with Art. 63 MiCAR by December 31, 2025, if they wish to continue their activities beyond this date. For registered TT service providers that are financial undertakings listed in Art. 59 para. 1 lit. b MiCAR, no authorization pursuant to Art. 63 MiCAR is required; instead, Art. 60 MiCAR applies.

In the future, MiCAR and TVTG will coexist, with their respective areas of application being mutually exclusive. For example, non-fungible tokens (NFTs for short) could fall within the scope of the TVTG, as they are excluded from the scope of MiCAR in accordance with Art. 2 para. 3 MiCAR. Depending on the business model and the given circumstances, service providers may be required to be licensed under both legislative acts.

 

Relationship to MiFID II

Crypto assets that qualify as financial instruments within the meaning of Directive 2014/65/EU (MiFID II) are excluded from the scope of MiCAR.

This is in line with the practice to date in Liechtenstein. When classifying a crypto asset for regulatory purposes, the first step continues to be the determination of whether it is a financial instrument (in accordance with MiFID II).