The Monetary Superintendence of Colombia introduced a venture that seeks to convey readability to how hyperlinks between banks and digital asset service suppliers (VASPs) can be dealt with sooner or later. The doc defines sure key ideas and determines a set of stipulations that banks must confirm earlier than accepting digital asset service suppliers as clients.
Digital Asset Service Suppliers to Be Regulated in Colombia
Regulation is changing into a key objective for nations in Latam, the place cryptocurrency adoption is rising at important charges. Now, the Financial Superintendence of Colombia has presented a doc that seeks to ascertain norms relating to the necessities cryptocurrency exchanges and custody suppliers should meet to be serviced as clients by banks. The venture defines key ideas akin to digital asset service suppliers (VASPs), and digital property within the scope of the regulation.
In the identical method, it establishes that digital asset service suppliers should be linked to the UIAF, the monetary intelligence workplace of Colombia, and have a plan of motion to take care of cash laundering and terrorism financing makes an attempt which may probably be made utilizing their platform.
The venture additionally makes an oblique reference to compliance with the journey rule promoted by the Monetary Motion Activity Pressure (FATF). It states banks should confirm these VASPs have:
The technological and operational capability to observe transactions with digital property, in addition to to acquire, protect and transmit the knowledge of the originator and the beneficiary of every transaction.
The proposal establishes that the VASPs may have to have the ability to current clear info to their clients in regards to the companies they provide and the dangers related to these companies, the prices related to these companies, and the digital property current on their platforms.
VASPs can even have a plan to take care of operational and cybersecurity-related dangers to deal with doable hacks or platform issues which may have an effect on how their companies are delivered to their clients. Additionally, banks may have the duty to separate their duties from these of VASPs, telling clients that solely they and these platforms are answerable for VASP-related issues.
The proposal additionally establishes restrictions relating to investments. It states:
The supervised entities licensed to seize assets by way of deposit merchandise or funds should be certain that the operations of deposit and withdrawal of assets in monetary merchandise of deposit or funds within the identify of a VASP are carried out solely by way of non-face-to-face channels.
The proposal remains to be within the dialogue phases, and the Monetary Superintendence will obtain ideas about it till August 12.
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