Am I undertaking Virtual Asset Service Provider activities?

VASPs are described in Part 4 of Schedule 2 of the Proceeds of Crime (Jersey) Law 1999. This includes natural or legal persons or arrangement that carries on the business of conducting one or more of the following activities or operations to, for or on behalf of another natural or legal person or arrangement:

(a) Exchange between virtual assets and fiat currencies,

(b) Exchange between one or more forms of virtual assets,

(c) Transfer of virtual assets,

(d) Safekeeping or administration of virtual assets or instruments enabling control over virtual assets,

(e) Participation in and provision of financial services related to an issuer’s offer and/or sale of a virtual asset.

“Transfer”, in relation to virtual assets, means to conduct a transaction on behalf of another natural or legal person or arrangement that moves a virtual asset from one virtual asset address or account to another.

What do you need to do?

If you are an existing business (operating prior to 30 January 2023) conducting virtual asset service provider activity in Jersey, you need to register with the JFSC to continue conducting business. This will require the following:

  • If you were previously registered as a Virtual Currency Exchange Business, you will need to complete the registration form available on our website. We will treat this application as a notification. There is a transition period running until 30 June 2023
  • If you have previously notified us to operate as a Virtual Currency Exchange business benefitting from the “turnover” exemption (as contained within the Proceeds of Crime (Supervisory Bodies) (Virtual Currency Exchange Business) (Exemption) (Jersey) Order 2016, you will need to complete the registration form available on our website. We will treat this application as a new application. There is a transition period running until 30 June 2023
  • If you are registered under the Financial Services (Jersey) Law 1998 to conduct financial services business, you will need to complete the registration form in relation to your existing virtual asset service provider activity. We will treat this application as a notification.There is a transition period running until 30 June 2023
  • If you are a new business (who began operating after 30 January 2023), you must register with the JFSC before you begin conducting business. We will treat this application as a new application.

Please note AML Service Providers cannot complete an application on behalf of a VASP, the VASP must complete the application form.

If you were undertaking a Schedule 2 activity before it was amended on 30 January 2023, this document may assist you in reviewing how those activities are described in the amended Schedule 2: Converting to amended Schedule 2