Guidance Notes Issued In Mauritius For Security Token Offerings And Security Token Trading Systems

The Financial Services Commission, Mauritius (FSC) continues to remain highly supportive of Fintech-related initiatives in Mauritius. On 15 June 2020, the FSC issued a set of Guidance Notes to provide for the implementation of a common set of standards for Security Token Offerings (STO) and the licensing of Security Token Trading Systems in Mauritius.

Some key takeaways are:

Definition of Security Token

"Security Tokens" fall within the definition of "securities" of the Securities Act 2005 of Mauritius (Securities Act).

The following non-exhaustive list illustrates what can be considered to be a Security Token:

• a share, where it confers or represents ownership or economic rights of the holder of the security token in a corporation;