IRELAND Law and Practice Contributed by: Niall Esler, Shane Martin, Laura Whitson and Coleen Wegmann, Walkers
5.2 Regulation of Cross-Border Payments and Remittances Cross-border payments may be regulated under the PSR. There are also requirements in respect of wire transfers, credit transfers and direct debits (eg, the Single Euro Payments Area). The PISA Framework is also relevant to companies enabling or supporting the use of payment cards, credit transfers, direct debits, e-money transfers and digital payment tokens, includ - ing e-wallets. 6. Marketplaces, Exchanges and Trading Platforms 6.1 Permissible Trading Platforms Crowdfunding Platforms The activity of operating a peer-to-peer crowdfunding platform is regulated under the Crowdfunding Regula - tion, which provides a European framework for loan and investment-based crowdfunding. Investment Services, Exchanges and Trading Platforms The provision of investment services, exchanges and trading platforms in respect of MiFID II financial instruments is primarily regulated by the Central Bank under the MiFID Regulations, which provide for the regulation of market operators and investment firms operating various types of trading venues, such as regulated markets, multilateral trading facilities (MTFs) and organised trading facilities (OTFs). Crypto-Asset Exchanges The operation of a crypto-asset exchange from Ireland involving exchange services between crypto-assets and/or crypto-assets and fiat currencies and/or the operation of a trading platform for crypto-assets will require authorisation as a CASP under MiCAR. 6.2 Regulation of Different Asset Classes MiCAR applies only to crypto-assets that are not cov - ered by existing EU legislation. MiCAR categorises in- scope crypto-assets into ARTs, EMTs and other type of crypto-assets, including utility tokens. The provision of investment services (such as oper - ating a trading venue) in relation to MiFID financial
instruments (including those issued through DLT) is regulated under the MiFID Regulations. 6.3 Impact of the Emergence of Cryptocurrency Exchanges MiCAR regulates the provision of crypto-asset exchange services and the operation of a trading platform for crypto-assets. MiCAR will apply to per - sons and to the crypto-asset services and activities performed, provided or controlled by them, directly or indirectly, including when part of such activities or services is performed in a decentralised manner. Where crypto-asset services are provided in a fully decentralised manner without any intermediary, they should not fall within the scope of the MiCAR authori - sation requirement, although each model will need to No formal listing standards exist for unregulated plat - forms. General contractual principles should apply, and certain general consumer protection rules may also apply. Trading venues established under MiFID or MiCAR are required to have detailed operating rules. 6.5 Order Handling Rules be considered separately. 6.4 Listing Standards No formal order handling rules apply for unregulated platforms; general contractual principles should apply. Detailed order handling rules apply to MiFID II invest - ment firms of MiCAR CASPs when executing orders. 6.6 Rise of Peer-to-Peer Trading Platforms For information on decentralised exchanges, see 10.9 Decentralised Finance (DeFi) . 6.7 Rules of Payment for Order Flow The MiFID II inducements, conflicts of interest and best execution rules will apply to all MiFID II invest - ment firms, including in the context of payment for order flow, which is the practice of brokers receiving payments from third parties for directing client order flow to them as execution venues. MiFIR prohibits financial intermediaries, when acting on behalf of retail clients or clients that have opted up to the professional client, from receiving a fee, com - mission or non-monetary benefit from any third party
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