The Commission de Surveillance du Secteur Financier (the
“CSSF”), the Luxembourg financial supervisory
authority, has always been known as an innovation and
business-friendly regulator. With the rapid rise of virtual assets,
the CSSF has now also published consumer-focused guidance regarding
said virtual assets (the “Guidance”). The Guidance, in
furtherance to the CSSF's first guidance on virtual assets
published on 29 November 2021, is yet another recommendation in
support of the European Supervisory Authorities' (EBA, ESMA
and EIOPA) previous announcements[1]. Like other financial markets,
Luxembourg has recently seen a strongly growing interest from
consumers towards, what the CSSF calls “easy”
investments in virtual assets, most of the time encouraged by
social media content creators. As a reminder, virtual assets are
defined by Luxembourg law as digital representations of value that
can be digitally traded or transferred, and can be used for payment
or investment
