Mauritius authorities are about to start issuing licenses to custodian service providers. The Financial Services Commission (FSC) has reportedly developed a regulatory environment in accordance with the draft rules set in November 2018. The new rules will come into force beginning from March.
"The Blueprint has identified a number of key opportunities that we have to tap into to foster further value-added activities in our jurisdiction. This new framework is in line with this strategy and we are confident that it is yet another addition that will increase the competitiveness of our jurisdiction," commented in the report FSC Chairman, Dr Renganaden Padayachy.
This step is expected to make Mauritius "the first jurisdiction globally to offer a regulated landscape" for digital assets storage, as stated FSC in its announcement as of February 8.
"This regulatory framework will be effective as from 01 March 2019...Holders of the Custodian Services (Digital Asset) Licence will equally have to comply with the applicable framework for AML/CFT, in line with international best practices," as the report reads.
The documents released in November reportedly covered a number of requirements for data disclosure to clients as well as legal minimum reserves and a comprehensive risk management programme. Those aspects are likely to be included in the final version.
Besides, customers will also have to follow the rules for keeping keys and seeds in order to gain access to digital assets as well as disclose the principles of cold storage and use mechanisms to identify suspicious transactions.
The FSC noted in the report that the unveiled licenses were drafted in close cooperation with the Organization for Economic Cooperation and Development and the industry representatives, legislators and regulators.
For reference, Mauritius recognized cryptos as a suitable class for investment by qualified investors in September 2018.