On October 3, Liechtenstein’s parliament unanimously passed the Token and TT Service Provider Act (TVTG), paving the way for the law to enter into force on January 1, 2020.
In an official press release, Liechtenstein’s government has stated that the new law is set to make it the first country to have a comprehensive regulation of the token economy. It also says that the legislation regulates civil law issues in relation to protection of clients and assets, while at the same time establishing adequate supervision of the various service providers in the token economy. In addition, it includes measures to require adherence to international rules for anti-money laundering (AML) and combating financing of terrorism (CFT).
“With the TVTG, an essential element of the government’s financial market strategy will be implemented and Liechtenstein will be positioned as an innovative and legally secure location for providers in the token economy,” says Prime Minister Adrian Hasler.
The law is also designed to provide clarity with regard to digital securities.
(Source:Goverment of Liechtenstein)