BMF considers changes for crypto securities

Since the introduction of the law on the introduction of electronic securities (in short: eWpG) two years ago, bearer bonds such as certificates or options can also be issued on the blockchain. A step towards more digitization in the dusty financial system. However, since the law was passed, only 22 cryptocurrency securities have made it to issuance. According to BTC-ECHO guest author Christopher Görtz, technical and regulatory requirements are primarily responsible for the low level of interest.

The Ministry of Finance is now planning changes to the eWpG. That wrote in an answer to a request from the FDP member of the Bundestag Frank Schäffler, which BTC-ECHO has exclusively. According to Schäffler, they are committed to “attractive location conditions for the issue and trading of crypto securities” in Germany.

The focus is on the obligation to publish. Until now, issuers have had to publish their products in the Federal Gazette. This costs the publisher at least 30 euros per listing. With the perspective of several thousand publications per day, enormous costs can arise that would hit start-ups particularly hard. The BMF wants to counteract this. It is currently examining adjustments to the eWpG with the Bafin and the Ministry of Justice in order to “remove disproportionate obstacles to the use of DLT”, the letter says.

Changes to the crypto FAV as well

In addition, the federal government is currently examining changes to the Ordinance on Crypto Fund Shares (KryptoFAV ​​for short). A year ago, she made it possible for German funds to issue share certificates on the blockchain. A step that industry experts mostly welcomed.

In order to be able to store the shares, the custodians need a separate license to keep the register from the Bafin according to the German Banking Act. Another cost factor that could turn out to be a disadvantage for the German location compared to other countries such as Luxembourg. In addition, custodians that operate a branch in the EU could not apply in Germany at all, critics say.

As the BMF now writes, adjustments to the regulation should ensure that third-party companies that have the necessary licenses can also take over the register management. Solutions for branch offices are also available, it is said.