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Gibraltar has updated its DLT framework to comply with FATF standards

September 20, 2020

The Gibraltar Financial Services Commission (GFSC) has updated its regulations for the operation of DLT (Distributed Ledger Technology) providers the latest standards from the Financial Action Task Force (GAFI).

The GFSC said this was a response to the speed of blockchain technology. especially the agency tries to support businesses while protecting consumers.

The updated standards contain the latest recommendations from the FATF via Virtual Asset Service Providers (VASPs) and the “travel rule” which requires VASPs to collect and transmit information from their customers in transactions. The GSFC recommends consideration “Virtual assets such as property, product, fund, fund or other asset or other equivalent securities”.

Gibraltar has updated its DLT framework to comply with FATF standards
Gibraltar has updated its DLT framework to comply with FATF standards

The GFSC standards require VASPs to collect and maintain “strong and accurate records of transactions”. Companies too You need to update your potential investors and customers on the risks associated with virtual assets while additional factors or evidence of inclusion are required.

Gibraltar’s Minister for Digital and Financial Services, Albert Isola, said the updated rules Bring this field closer to compliance with ever-evolving global regulations:

“The publication of the updated standards is another important step in the development of the regulatory framework for DLT providers that has proven so successful so far. It is also an important milestone in the development of our regulations as we move forward Path to continued FATF compliance. Thanks to all parties involved in providing these updates. “

The consultation process started last November and included the GFSC, the Gibraltar Association for New Technologies, and DLT license providers.

According to the GFSC The number of DLT technology providers licensed in the area reached 13 companies, including eToro, Huobi, Xapo, LMAX, Bitso and Gnosis.

Gibraltar has been hailed as a leader in the crypto industry for its transparency and regulatory advances around cryptocurrencies. It has even been dubbed the next hot spot in the industry.

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