In this act Article 5 of 12
Article 5 — Segregation and safekeeping of clients’ crypto-assets and funds
Financial servicesLevel 2RTSMiCAIn forceOfficial source
5(1)Copy link
1.For the purposes of Article 60(7), point (d), of Regulation (EU) 2023/1114, the notifying entity that intends to hold crypto-assets belonging to clients or the means of access to such crypto-assets, or clients’ funds other than e-money tokens, shall provide to the competent authority a detailed description of its procedures for the segregation of clients’ crypto-assets and funds, including the following:
5(1)(a)(iii)
iii)the wallets holding clients’ crypto-assets are different from the notifying entity’s own wallets;
Copy link5(1)(b)
b)a detailed description of the approval system for cryptographic keys and safeguarding of cryptographic keys including multi-signature wallets;
Copy link5(1)(c)
c)how the notifying entity segregates clients’ crypto-assets, including from other clients’ crypto-assets where wallets containing crypto-assets of more than one client, are kept in omnibus accounts;
Copy link5(1)(d)
d)a description of the procedure ensuring that clients’ funds other than e-money tokens are deposited with a central bank or a credit institution by the end of the business day following the day on which they were received and are held in an account separately identifiable from any accounts used to hold funds belonging to the notifying entity;
Copy link5(1)(e)
e)where the notifying entity does not intend to deposit funds with the relevant central bank, which factors the notifying entity takes into account to select the credit institutions with which to deposit clients’ funds, including the notifying entity’s diversification policy, where available, and the frequency of review of the selection of credit institutions with which to deposit clients’ funds;
Copy link5(1)(f)
f)how the notifying entity ensures that clients are informed in clear, concise and non-technical language about the key aspects of the notifying entity’s systems, policies and procedures to comply with Article 70(1), (2) and (3) of Regulation (EU) 2023/1114.
Copy link5(2)Copy link
2.In accordance with Article 70(5) of Regulation (EU) 2023/1114, crypto-asset service providers that are electronic money institutions or credit institutions shall only provide the information set out in paragraph 1 of this Article.