LIECHTENSTEIN Law and Practice Contributed by: Christian Inmann and Markus Stelzl, Inmann Stelzl & Partner Attorneys at Law Partnership
10.12 NFTs NFTs are generally not covered by MiCAR, but they fall under the Liechtenstein TVTG, meaning that plat - forms offering NFT services, such as custody, may qualify as token service providers and must register with the FMA. The regulation focuses on the economic function of the NFT and the role of the platform, ensuring con - sumer protection, AML/CFT compliance and opera - tional safeguards. 10.13 Stablecoins In Liechtenstein, stablecoins are regulated under MiCAR. E-Money Tokens (EMTs) pegged to a single fiat currency may only be issued by banks or licensed e-money institutions, while ARTs backed by baskets of assets require MiCAR authorisation. Issuers must maintain full reserves, ensure redemption at par, imple - ment robust risk management and operational safe - guards, and submit a white paper to the FMA detailing stabilisation, custody and redemption mechanisms. Overall, Liechtenstein applies a technology-neutral approach, focusing on investor protection and opera - tional resilience. Open banking is actively supported by regulation through the full implementation of PSD2 as part of the EEA framework. PSD2 obliges banks to grant licensed third-party providers access to customer accounts, enabling account information and payment initiation services with customer consent. Overall, PSD2 has been a key enabler of open banking in Liechtenstein, fostering innovation under a clear and technology- neutral regulatory framework. 11.2 Concerns Raised by Open Banking Banks and technology providers address open-bank - ing data privacy and security risks through compliance with PSD2 and GDPR, combined with robust technical and contractual safeguards. They use secure APIs, strong customer authentication and consent man - agement. Clear contractual allocation of liability and 11. Open Banking 11.1 Regulation of Open Banking
The applicable regime depends on the fund type, investor base and the legal nature of the underlying assets, not on the use of blockchain technology. UCITS funds are subject to strict diversification, liquidity, and eligible asset rules, which in practice limit direct investment in most crypto-assets and typically result in only indirect exposure. Most crypto-focused strategies are therefore implemented through alter - native investment funds (AIFs), which are regulated under AIFMD, with the AIFM bearing full responsibil - ity for risk management, valuation, custody arrange - ments and investor protection. Where blockchain assets qualify as securities, cus - tomary securities law applies. Where they fall within MiCAR, custody, trading and AML/CFT requirements must be met. The use of on-chain assets does not remove the need for appropriate regulated safeguard - ing structures. The FMA confirmed that an AIFM does not require a MiCAR licence merely because a fund invests in crypto-assets within MiCAR’s scope and that UCITS management companies, AIFMs and licensed asset managers may provide certain crypto-asset servic - es, such as portfolio management of crypto-assets on a discretionary, individual-client basis, under the exemptions provided in Article 60 MiCAR. However, where portfolio management of a crypto- asset-investing AIF or structured product is delegated to an external asset manager, that delegate must hold a separate MiCAR authorisation, in line with the con - sistent practice of European supervisory authorities. 10.11 Virtual Currencies In Liechtenstein, virtual currencies and blockchain assets are related but regulated differently. • Virtual currencies, like bitcoin, are generally outside securities law, though services such as trading or custody may require CASP authorisation under MiCAR and AML/CFT compliance. • Blockchain assets cover a broader range, includ - ing security tokens, utility tokens and stablecoins, which may trigger MiCAR, securities or e-money rules depending on their function.
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