The EBA consults on draft technical standards on supervisory colleges under MiCAR

The proposals set out in these draft RTS specify: (i) the criteria to be used for determining “the most relevant” custodians of the reserve of assets, trading platforms, payment service providers providing payment services in relation to the significant EMTs and crypto-assets service providers providing custody and administration of crypto-assets on behalf of clients; and (ii) the conditions under which it is considered that ARTs and EMTs are “used at large scale” in a Member State for the purpose of determining the composition of a supervisory college under MiCAR.

Also, the draft RTS specify the general conditions for the functioning of supervisory colleges under MiCAR, including aspects related to participation in the college meetings, the voting procedures for the adoption of a non-binding opinion by the college, and aspects related to the exchange of information and the entrustment of tasks among college members.

Consultation process

Comments on the consultation paper can be sent by clicking on the "send your comments" button on the EBA's consultation page. The deadline for the submission of comments is 8 February 2024.

The EBA will hold a virtual public hearing on different consultation papers under MiCAR on 17 January 2024 from 12:00 to 12:30 CEST, with this consultation paper being discussed from 12:00 to 12:30 CEST. The EBA invites interested stakeholders to register using this link by 15 January 2024 at 16:00 CEST. The dial-in details will be communicated to those who have registered for the meeting.

All contributions received will be published following the end of the consultation, unless requested otherwise.

Legal basis

The EBA has developed these draft RTS in accordance with Article 119(8) of MiCAR, which mandates the EBA to develop, in cooperation with the European Securities and Markets Authority and the European Central Bank, draft regulatory technical standards (RTS) specifying: (i) the conditions under which the entities referred to in Article 119(2)(d), (e), (f) and (h) of MiCAR are to be considered “the most relevant” in their category, and the conditions under which it is considered that ARTs and EMTs are “used at large scale”, as referred to in Article 119(2) (l) of MiCAR, for the purpose of determining the composition of a college; and (ii) the details of the practical arrangements regarding the functioning of supervisory colleges under MiCAR.

Background

Regulation (EU) 2023/1114 on Markets in Crypto-assets (MiCAR) establishes a regime for the regulation and supervision of crypto-asset issuance and crypto-asset service provision in the EU. It came into force on 29 June 2023, and the provisions relating to offering to the public and admission to trading of ARTs and EMTs will be applicable from 30 June 2024.

Article 119(1) of MiCAR requires the EBA to establish, manage and chair a consultative supervisory college for each issuer of a significant ART or of a significant EMT. The role of supervisory colleges under MiCAR is to facilitate the exercise of the EBA’s supervisory tasks under MiCAR and to facilitate the cooperation and exchange of information among its members. A college may issue non-binding opinions, addressed to the EBA and/ or the relevant competent authority, on amongst others, changes to the authorisation of, or supervisory measures concerning, issuers of a significant ART or of a significant EMT.