Crypto Asset Regulation in Cyprus
Crypto assets constitute private assets utilising cryptography
and distributed ledger technology to derive their perceived or
inherent value. Various types exist such as payment/exchange type
tokens (for instance virtual currencies), investment type tokens,
and utility type tokens (designed to access goods or services).
During 2021 several initial steps were taken for the regulation
of crypto assets in Cyprus. These included the publication of
Circular no. C417 by the Cyprus Securities and Exchange
Commission (CySEC) addressed to Cyprus Investment Firms, the
enactment of the 5th Anti Money Laundering
Directive (EU)2018/843 (‘AMLD5') into Cyprus
law, via Amended Law 188(I)/2007 on ‘Prevention and
Suppression of Money Laundering and Terrorist Financing'
(‘the AML
Law'), and the publication of CySEC's
Directive
Κ.Δ.Π. 269/2021 on ‘the Register of
Providers of Services Regarding Crypto Assets' (‘the
CySEC Register Directive').
