The Financial Supervision Commission (FSC) is expected to play a leading role in the new Crypto Asset Markets Act, which was published for public consultation by the Council of Ministers.
The projectdrafted by the Ministry of Finance, aims to implement the provisions adopted by the European Union last year through the Markets in Crypto Assets Regulation (MiCA).One of the decisions is not to create a separate state regulator for crypto assets, motivated by the lower costs associated with the inclusion of a new unit within the FSC, as well as the possibility to use the existing administrative infrastructure of the Commission.The drafters of the bill emphasize that due to certain similarities between MiCA and existing processes p
The BNB and the European Central Bank are the authorities responsible for issuing and revoking the licenses of credit institutions that carry out cryptocurrency activities.The FSC is responsible for licensing, monitoring compliance with the rules, imposing sanctions and revoking the licenses of issuers of - stablecoins, crypto assets, cryptocurrency trading platforms and service providers in this sector.
The regulator must obtain a so-called "white paper" for a crypto asset, containing detailed information about the issuer, intermediary or person wishing to be admitted to trading, the project to be implemented with the capital raised, the public offering of the crypto asset, the rights and obligations involved, the technology used, as well as the risks involved.
For the purposes of the law and European regulation, issuers of asset-backed tokens must have capital with a value of at least €350,000, 2% of the average amount of reserves in assets, or one quarter of the previous year's fixed total expenses.The members of the governing bodies of crypto asset service providers must not have been convicted of any intentional crimes, have not been sanctioned for a certain range of offences at various points in time going back in time, are not prohibited from carrying out material activities, and have not been part of the management of companies that have gone bankrupt or lost their license from the BNB or the FSC.Holders, users of services for crypto assets, and other interested parties, including consumer associations, can submit complaints and alerts to the FSC about violations of the new law. Depending on the violation, the penalties range from BGN 1,000 to BGN 60 million. or a percentage of the turnover in case of detected market manipulation. The public consultation is scheduled to last until 20 September.