IRELAND Law and Practice Contributed by: Niall Esler, Shane Martin, James O’Doherty and Laura Whitson, Walkers
MiCAR provides that CASPs providing custody and administration of crypto-assets on behalf of clients shall be liable to their clients for the loss of any crypto-assets or of the means of access to the crypto-assets as a result of an incident that is attributable to them. The liability of the CASP shall be capped at the market value of the crypto-asset that was lost, at the time the loss occurred. Incidents not attributable to the CASP include any event in respect of which the CASP demonstrates that it occurred independently of the provision of the relevant service, or indepen - dently of the operations of the CASP, such as a problem inherent in the operation of the distrib - uted ledger that the CASP does not control. In contrast to the rules under the MiFID Regula - tions for investment services, crypto-assets will not be covered by an investor compensation scheme.
Regulated financial service providers may also be subject to fines and compensation requests for contraventions of financial services legisla - tion as part of the administrative sanction pro - cedure or pursuant to a private right of action for damages by customers who suffered loss or damage as a result of such contraventions.
387 CHAMBERS.COM
Powered by FlippingBook