Targeted crypto service providers
On May 1, the Royal Decree requiring the following crypto-asset service providers (known as "VASPs" - Virtual Asset Service Providers) to be registered with FSMA comes into force:
- Providers of exchange services between crypto-currencies and legal tender;
- Private cryptographic key wallet providers;
- Providers of crypto-asset ATM machines (hereinafter referred to as "ATM machines");
Conversely, issuers of crypto-assets[1] or providers of crypto-currency exchange services are not required to register. In addition, provided they are not responsible for the services provided on ATM machines, the following are not covered either:
- Operators of premises where ATM machines are installed;
- ATM machine maintenance service providers.
We also remind you that the following service providers are prohibited from deploying exchange services between crypto-currencies and legal tender in Belgium:
- Service providers governed by the law of a country outside the European Economic Area ;
- Individuals.
If you fall into one of these categories and are carrying out or intend to carry out the activities described above in Belgium, it is imperative that you set up a company in Belgium and submit an application for registration to the FSMA.
Conditions at a glance
To apply for FSMA registration as a VASP, you need to be a company governed by the law of a member state of the European Economic Area.
- If the company is Belgian, it must take one of the corporate forms listed by law (excluding the SRL) and have capital of at least €50,000, fully paid up.
- If the company is based in another EEA member state, it must set up its head office in Belgium (where the company will actually be managed and where supporting documents will be kept available for the FSMA).
- If the foreign service provider has ATM machines on Belgian territory, it must designate a central contact point in Belgium (this will be the person responsible for ensuring compliance with the anti-money laundering law).
The company's directors must also have the expertise and professional repute required to carry out their duties.
FSMA also pays particular attention to the applicant company's compliance with Belgian anti-money laundering legislation.FSMA also pays particular attention to the applicant company's compliance with Belgian anti-money laundering legislation.
Cost
FSMA registration entails :
- A one-off fee of €8,000 per status for examination of the application for registration - whether the application is accepted or rejected;
- An annual contribution of €8,000 per status once registration has been confirmed.
Sanctions
Failure to register with FSMA is punishable by a criminal fine of €50 to €10,000.
If your company engages in illegal activities, it also runs the risk of appearing on the "black list" of fraudulent companies published by the FSMA.
Deadlines
The legislator has given service providers time to prepare their application files: they will be able to continue their activities provisionally after May 1, while FSMA examines their application for registration. To benefit from this provisional authorization, they must:
- notify FSMA that they will be carrying on business by July 1, 2022;
- and submit their complete application to FSMA by September 1, 2022.
We can help you put together your FSMA application and register with FSMA. Please contact us for a more detailed description of the conditions to be met and the documents required.
[1] i.e. a legal entity that offers any type of crypto-asset to the public or applies for admission of such crypto-assets to a crypto-asset trading platform (Article 3 of the MiCA Regulation)..
Need help with your application? Contact us for professional assistance!