A new rule imposed by Belgium’s financial regulatory agency, the Financial Services and Markets Authority (FSMA), will now require crypto exchanges and custodial wallet services in the region to register within a sharp deadline.
Starting tomorrow on May 1, legal individuals and entities that wish to provide crypto exchange services or custodial wallets in Belgium will have to register in advance, according to the information released by the FSMA.
As from 1 May 2022, providers of exchange services between #virtual #currencies and legal currencies, or custody #wallet services will have to register with the #FSMA. Please consult the FAQs. https://t.co/P44mkovn5L pic.twitter.com/aAdtQ9Dqwx— FSMA (@FSMA_info) April 29, 2022
Crypto businesses in Belgium that have been already operating before this official announcement are required by law to notify the FSMA of the “exercise of their activity” within the next two months, before July 1.
In addition to disclosing operations, existing businesses have been given four months, i.e., before Sept. 1, to register as a regulated business with the financial regulator.
To maintain active registration with the FSMA, crypto service providers are required to fulfill seven conditions that include being constituted in the form of a company with a minimum capital of roughly $52,725, or 50,000 euros.
The FSMA expects to process registration applications within three months, considering all required information has been provided. Upon successful registration, crypto service providers will receive a unique registration number, or the company number, that must be used in all further interactions with the FSMA.
Belgium’s pro-crypto stance became evident at the start of 2022 when Brussels member of parliament Christophe De Beukelaer became the first European politician to convert his salary to Bitcoin (BTC).
As Cointelegraph previously reported in January, Beukelaer announced using the Bit4You crypto trading platform to convert his monthly salary of roughly $6,140, or 5,500 euros, to BTC.
During the revelation, Beukelaer shared his intent to inspire other politicians in the region to support the growing crypto economy.