VASP Reporting Manual Released: NFTs Deemed Virtual Assets

IconCryptoNewsTerminal Staff15 Jul, 2024

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VASP Reporting Manual Released: NFTs Deemed Virtual Assets

According to Tech M, The Financial Intelligence Unit (FIU), under the Financial Supervisory Service, recently released a comprehensive VASP (Virtual Asset Service Provider) reporting manual. This manual provides detailed clarifications and requirements compared to the 2021 version, covering aspects such as: - Criteria to determine whether a non-fungible token (NFT) is a virtual asset - Business plan submission guidelines - Establishment of a robust legal compliance system - Disclosure of major shareholders' identities Industry experts believe that the enhanced reporting requirements will likely lead to a decrease in the number of VASP operators due to the increased entry barriers. Notably, businesses distributing or handling NFTs are required to assess whether the NFTs fall under the definition of virtual assets before registering as VASPs. By providing clear guidelines and specific requirements, this updated manual aims to enhance the regulation and oversight of VASPs, contributing to a more transparent and compliant virtual asset ecosystem.

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