On The Horizon – The BVI To Regulate Virtual Assets Service Providers

On 9 September 2022, the BVI Financial Services Commission (the "Commission") circulated a draft Virtual Assets Service Providers Act, 2022 (the "Proposed VASP Bill") for consultation. The consultation period of two weeks closed on 23 September 2022.

The Proposed VASP Bill primarily: (i) defines the virtual assets activities that require registration; (ii) prescribes the criteria for a virtual assets service provider ("VASP") to register; (iii) sets out the ongoing requirements and obligations of VASPs; and (iv) specifies the enforcement and general powers of the Commission as well as the penalties for contravening or failing to comply with, a provision of the Proposed VASP Bill.