Regulatory Blog

The European Securities and Markets Authority has recently issued a statement on transitional measures and a list of grandfathering periods under Regulation 1114/2023 on markets in crypto-assets. These transitional periods are critical for crypto asset service providers already operating before 30 December 2024, offering them a limited timeframe to obtain a licence under MiCA.

On 12 December 2024, the Cyprus House of Representatives approved the implementation of a global minimum tax law in Cyprus for multinational enterprise groups and large domestic groups, aligning with the EU Pillar Two Directive 2022/2523. The GMT Law establishes a minimum effective tax rate of 15 per cent for MNEs with annual consolidated revenues exceeding €750 million. The GMT Law is currently in force as it was published in the Official Gazette of the Republic of Cyprus on 18 December 2024.

The Cyprus Securities and Exchange Commission published a document outlining key aspect of the implementation of the EU package on a digital operational resilience framework for the financial sector. This regulatory framework is aimed at strengthening the digital resilience of the financial sector.

On 10 December 2024, the European Supervisory Authorities, consisting of the EBA, EIOPA, and ESMA introduced joint guidelines to standardise the regulatory classification of crypto-assets under the Markets in Crypto-Assets Regulation. These Guidelines aim to harmonise industry practices and supervisory approaches, ensuring a consistent and fair regulatory environment across the EU.

On 24 December 2024, the BVI published General Licence No. 8 (2024), allowing payments for reasonable professional legal fees and expenses related to designated persons under the Russia and Belarus sanctions regimes. This new licence, valid for six months, replaces earlier licences No. 3, No. 5 and No. 6, with important updates to fee caps and reporting requirements.

On 2 December 2024, the Bermuda Monetary Authority released several key documents to guide insurance entities in their year-end reporting and compliance obligations. These publications are essential for ensuring adherence to regulatory standards and for maintaining the integrity of Bermuda's insurance sector.

On 8 January 2025, the EU General Court ruled in favour of a German citizen in Bindl v Commission (Case T-354/22), ordering the European Commission to pay €400 in damages for unlawfully transferring personal data to the US.

The seminar hosted by the Cayman Islands Compliance Association and the Department for International Tax Cooperation in November 2024, provided important updates and valuable insights into the Cayman Islands’ tax transparency initiatives, compliance priorities and regulatory developments.

In June 2024, the English Court of Appeal’s judgment in Celestial Aviation Services Ltd v UniCredit Bank AG (London Branch) [2024] EWCA Civ 628 overturned a High Court ruling that raised concerns over the obligations of contracting parties under sanctions. The case addressed the extent to which sanctions legislation affects payment obligations under letters of credit, particularly where parties face obstacles due to international sanctions regimes.