EBA consults on draft technical standards on EU market access of issuers of asset-referenced tokens under the Markets in Crypto-Assets Regulation

EBA has published a consultation paper on draft technical standards related to the issuance and market access of ARTs under MiCAR. These standards aim to ensure the proper regulation of ARTs and promote a standardized approach across the EU.
The consultation paper introduces two sets of draft RTS and one set of ITS:
The first set of RTS focuses on the information requirements for obtaining authorization as an issuer of ARTs. It requires applicants to provide detailed information about their business model, internal governance structure, liquidity management, reserve of assets, and the reputation of the management team and shareholders with qualifying holdings.
The draft RTS also addresses the risk of money laundering and terrorist financing associated with ART issuers. Applicants must demonstrate that their business model does not expose them or the sector to significant money laundering and terrorist financing risks. They are also required to provide information about the mechanisms for issuance and redemption of ARTs, especially concerning any involvement of entities subject to AML and CFT obligations.
The second set of RTS specifies the standard application letter and template to be used for the submission of the authorization application. The goal is to ensure uniformity in the application process across the EU, making it easier for both applicants and competent authorities to handle the application procedure efficiently.
The ITS clarifies the procedural aspects of submitting an application, including the preferred use of electronic forms. However, it also allows for the submission of certain documents in paper form when required. Additionally, it outlines the steps to be followed in the event of an incomplete application and defines criteria for considering an application as complete.
The consultation paper emphasizes the importance of proportionality and flexibility in the information requirements, allowing applicants to avoid redundant submissions if they have already obtained authorization for a different ART. It also highlights the significance of a detailed and robust internal governance framework, including ICT risk management, to ensure sound and prudent management of ART issuers.