On 4 April 2024, the Cyprus Securities and Exchange Commission (CySEC) published Circular C628 informing all entities under its supervision of the following:
- In alignment with CySEC Circular C191, CySEC clarifies that the "date of authorisation" of a licensed entity is the date specified in the letter by which CySEC notifies that entity an authorisation has been granted.
- As such, obligations regarding report submission, provision of information, and compliance with regulations commence from the aforementioned authorisation date.
- CySEC has abolished Circular C274, which provided that the date of authorisation of a licensed entity is the date on which the licensed entity is informed of its license number and the relevant information is posted on CySEC's website.
To recap, CySEC Circular C191 provides that:
- From the date of licensing, licensed entities must adhere to all applicable legislation and obligations, including submitting reports and paying annual fees to CySEC.
- The date of licensing is when the licensing entity receives its licence, regardless of whether it has commenced operations.
- Even if a licensed entity has not yet begun operations during a year it is licenced, it must still submit required reports and pay fees.
- Reports submitted during non-operational periods should contain the minimum required information.
- Licensed entities are directed to the relevant circulars, directives, legislation and European Regulations for guidance on the content of reports and submission deadlines.
- Compliance with these obligations is crucial, as failure to do so may result in strict administrative sanctions.
This summary highlights key points for licensed entities to ensure they fulfil their obligations to CySEC.
CySEC's Circular C628 can be found here and Circular C191 here.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.