Section 24Part 5 — The Authority: Powers and Enforcement
Powers and duties of the Authority
←→ Navigate · Click subsection badges to collapse · Press ? for help
The Authority shall —
maintain a general review of the provision of virtual asset services in the Islands, including taking reasonable measures to identify persons, including natural persons, who are providing these services in contravention of this Act , and submit an annual report of this review to the Cabinet;
be responsible for supervision and enforcement in respect of virtual asset service licensees, sandbox licensees and registered persons to whom this Act applies and for the investigation of persons where the Authority reasonably believes that they have contravened the licence or registration provisions in this Act ;
whenever the Authority considers it necessary, examine, the affairs or business of any virtual asset service provider by way of the receipt of regular returns, on- site inspections, auditor’ s reports or in such other manner as the Authority may determine, for the purpose of —
assessing whether a virtual asset service provider is undertaking its authorised activities in accordance with this Act ;
confirming that the Anti-Money Laundering Regulations (2023 Revision) are being complied with;
confirming that a licensee is in a sound financial position;
assessing whether a licensee’s cybersecurity safeguard measures are sufficient to protect client information and assets; or
carrying out any other functions of the Authority;
ensure that fintech and virtual asset services are offered in a manner that accords with the public interest and is conducive to the growth of the financial services industry; and
monitor regulatory requirements and the supervisory needs of virtual asset service providers and make recommendations to the Ministry regarding changes to the regulatory laws with a view to ensuring that the regulatory laws provide an effective framework for the supervision of virtual asset services and regulated activities that include the use of virtual assets.
The Authority may, in writing, authorise any other person to assist it to carry out its functions under this Act .
A person who knowingly or recklessly provides any information to the Authority which is false or misleading in a material respect commits an offence and is liable on summary conviction to a fine of ten thousand dollars and to imprisonment for six months. Virtual Asset (Service Providers) Act (2024 Revision) Section 25
The Authority may, by Order, provide for the listing of newly created virtual assets.