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ARTICLE · 26 JANUARY 2023

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Cyprus-Regulations Over Cryptocurrency And Blockchain

In recent years, Cyprus has shown that it wants to have an active role in the development of blockchain technology and especially that it wants to become a pioneering and secure financial center ...

CyprusTechnology

1. Introduction

In recent years, Cyprus has shown that it wants to have an active role in the development of blockchain technology and especially that it wants to become a pioneering and secure financial center for the exchange of crypto assets and services. This intention was first evident in 2018, when the Republic of Cyprus signed the 'Declaration of the Southern Mediterranean Countries on Distributed Ledger Technologies' and the 'European Blockchain Partnership', aiming to increase cooperation between the European Countries in the innovative distributed ledger technologies (DLT).1 Whilst the same year, the Cyprus Securities and Exchange Commission (CySEC) established an Innovation Hub, which aims to act as a communication platform between CySEC and both supervised and non-supervised entities in the fields of Fintech2 and Regtech3. Through communication, the Innovation Hub identifies the regulatory framework that needs to be established to meet evolving needs

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