The EBA consults on draft Guidelines on internal governance arrangement for issuers of asset-referenced tokens under the Markets in Crypto-Assets Regulation

EBA has initiated a public consultation on draft Guidelines for internal governance arrangements for issuers of ARTs under MiCA. These guidelines aim to establish governance provisions that ART issuers must adhere to, emphasizing the principle of proportionality. The goal is to ensure effective risk management for various operational risks, including fraud, cyber threats, and compliance risks, while also ensuring consumer and investor protection.
The consultation paper outlines specific governance provisions, tasks, and responsibilities for the management body, as well as the organization of ART issuers. It emphasizes the importance of managing risks across all lines of defense, allowing for effective supervision of ART issuers. The paper also details how ART issuers should identify and mitigate operational risks, engage with third-party entities for various functions, and establish business continuity plans.
These guidelines have been developed in collaboration with ESMA and the ECB, in accordance with MiCA. The guidelines will apply to competent authorities across the EU and ART issuers.
The consultation will run until 22 January 2024, and a virtual public hearing is scheduled for 11 January 2024.