Virtual asset service providers

What is a virtual asset service provider?

A virtual asset service provider, or VASP, is a person or business that provides certain virtual asset services to, for or on behalf of another person. These activities include:

• exchanging virtual assets for fiat currency
• exchanging one virtual asset for another
• transferring virtual assets
• safeguarding or administering virtual assets or the means of controlling them
• providing financial services connected with an issuer’s offer or sale of a virtual asset

Could this apply to you?

Choose this pathway if you intend to carry on any of the above activities as a business in or from within Jersey. Common examples may include virtual asset exchanges, brokers, custodians and certain businesses involved in virtual asset transfers or token issuance.

If you are launching a token, establishing a digital asset fund or tokenising a real-world asset, one of the other pathways may be a better starting point. However, VASP registration may still be required if your wider business model includes a VASP activity.

How are VASPs regulated?

A VASP that does not hold another regulated business licence is supervised by the JFSC for anti-money laundering, countering the financing of terrorism and countering proliferation financing purposes only. VASP registration does not, by itself, amount to conduct or prudential regulation of the business.

What will you need?

Your application should clearly explain:

1. The services you will provide and the customers you will serve
2. The countries in which you will operate
3. Your ownership, governance and management arrangements
4. How customers will access and use the service
5. How virtual assets and customer assets will be safeguarded
6. Your business risk assessment and AML/CFT/CPF framework
7. Customer due diligence, transaction monitoring, sanctions screening and suspicious activity reporting arrangements
8. Your technology, cyber-security and operational resilience controls
9. Any outsourced services or other material counterparties.
10. The application should be complete, current and specific to your business. Missing or generic information is likely to result in further questions and delay consideration of the application

Application process

You must register with the JFSC before beginning VASP activity.

Submit your application using the relevant JFSC application process which differs depending on whether you are making the application directly, or through an anti-money laundering service provider (AMLSP). Relevant guidance is linked below. 

We will assess the application against the applicable legal and AML/CFT/CPF requirements. We may ask for further information where this is necessary to understand the business model, verify the information provided or assess the risks presented by the proposed activities.

Applicants should review the VASP definition, registration form and supporting guidance before applying. Many applicants find it useful to engage a Jersey law firm or other appropriately experienced local adviser to help them understand the Jersey requirements and prepare the application.

If you are an AMSLP supporting a VASP application, see our guidance for AMLSP applications. 

If you are looking to directly submit an application, see our relevant guidance here.

Applications will be made through myJFSC.

Timescales and fees

The JFSC’s published service-level information should be read alongside the application guidance. The relevant service target is measured from receipt of the information needed to assess the application. Applications involving higher-risk factors, complex activities or incomplete information may require further correspondence and take longer.

The JFSC’s published service reports include a five-working-day service target for processing relevant AML service provider online forms.  

Applicants should refer to the current VASP application materials and JFSC fee notices for the applicable application and annual fees. Fees may be updated periodically and additional fees may arise where the applicant requires another registration, licence or Registry consent.

Useful links