BETA

Activities of Chris MACMANUS related to 2020/0265(COD)

Plenary speeches (1)

2023/04/19
Dossiers: 2020/0265(COD)

Shadow reports (1)

2022/03/17
Committee: ECON
Dossiers: 2020/0265(COD)
Documents: PDF(714 KB) DOC(253 KB)
Authors: [{'name': 'Stefan BERGER', 'mepid': 197410}]

Amendments (46)

Proposal for a regulation
Recital 16

(16) Small and medium-sized enterprises and start-ups should not be subject to excessive administrative burdens. Offers to the public of crypto- assets in the Union that do not exceed an adequate aggregate threshold over a period of 12 months should therefore be exempted from the obligation to draw up a crypto-asset white paper. However, EU horizontal legislation ensuring consumer protection, such as Directive 2011/83/EU of the European Parliament and of the Council38 , Directive 2005/29/EC of the European Parliament and of the Council39 or the Council Directive 93/13/EEC of 5 April 1993 on unfair terms in consumer contracts40 , including any information obligations contained therein, remain applicable to these offers to the public of crypto-assets where involving business-to- consumer relations. _________________ 38Directive 2011/83/EU of the European Parliament and of the Council of 25 October 2011 on consumer rights, amending Council Directive 93/13/EEC and Directive 1999/44/EC of the European Parliament and of the Council and repealing Council Directive 85/577/EEC and Directive 97/7/EC of the European Parliament and of the Council (OJ L 304, 22.11.2011, p. 64). 39Directive 2005/29/EC of the European Parliament and of the Council of 11 May 2005 concerning unfair business-to- consumer commercial practices in the internal market and amending Council Directive 84/450/EEC, Directives 97/7/EC, 98/27/EC and 2002/65/EC of the European Parliament and of the Council and Regulation (EC) No 2006/2004 of the European Parliament and of the Council (‘Unfair Commercial Practices Directive’) (OJ L 149, 11.6.2005, p. 22) 40Council Directive 93/13/EEC of 5 April 1993 on unfair terms in consumer contracts (OJ L 95, 21.4.1993, p. 29).

2021/06/03
Committee: ECON

Proposal for a regulation
Recital 18

(18) In order to enable supervision, issuers of crypto-assets should, before any public offer of crypto-assets in the Union or before those crypto-assets are admitted to trading on a trading platform for crypto- assets, notify their crypto-asset white paper and, where applicable, their marketing communications, to the competent authority of the Member State where they have their registered office or a branch. Issuers that are established in a third country should notify their crypto-asset white paper, and, where applicable, their marketing communication, to the competent authority of the Member State where the crypto-assets are intended to be offered or where the admission to trading on a trading platform for crypto-assets is sought in the first place. In both cases, any public offer or admission to trading or a trading platform is dependent on authorisation by the competent authority.

2021/06/03
Committee: ECON

Proposal for a regulation
Recital 19

(19) Undue administrative burdens should be avoided. Competent authorities should ~~therefore not be required to approve a crypto-asset white paper before its publication. Competent authorities should, however~~, after publication, have the power to request that additional information is included in the crypto-asset white paper, and, where applicable, in the marketing communications.

2021/06/03
Committee: ECON

Proposal for a regulation
Recital 20

(20) Competent authorities should be able to suspend or prohibit a public offer of crypto-assets or the admission of such crypto-assets to trading on a trading platform for crypto-assets where such an offer to the public or an admission to trading does not comply with the applicable requirements. Competent authorities should also have the power to publish a warning that an issuer has failed to meet those requirements, either on its website and/or through a press release.

2021/06/03
Committee: ECON

Proposal for a regulation
Recital 21

(21) Crypto-asset white papers and, where applicable, marketing communications that have been duly notified to a competent authority and authorised by a competent authority should be published, after which issuers of crypto- assets should be allowed to offer their crypto-assets throughout the Union and to seek admission for trading such crypto- assets on a trading platform for crypto- assets.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 4 – paragraph 1 – point b a (new)

(ba) has received authorisation from a competent authority;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 5 – paragraph 1 – point a

(a) a detailed description of the issuer ~~and a presenta~~, including a summary of key financial information regarding the issuer and a detailed description of the main participants involved in the project's design and development;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 5 – paragraph 1 – point a a (new)

(aa) if different from the issuer, the identification of the offeror, a description of the offeror’s relationship with the issuer, and a summary of key financial information regarding the offeror;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 5 – paragraph 1 – point b a (new)

(ba) an independent assessment of the likely energy consumption of the crypto- asset where the "proof of work" model is used;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 5 – paragraph 5 – point d a (new)

(da) public protection schemes protecting the value of crypto assets and public compensation schemes do not exist and crypto-assets are not covered by public investor compensation or deposit guarantee schemes;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 7 – paragraph 1

1. Competent authorities shall ~~not~~ require an ex ante approval of a crypto- asset white paper, ~~nor~~and of any marketing communications relating to it before their publication.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 8 – paragraph 1

1. Issuers of crypto-assets, other than asset-referenced tokens or e-money tokens, shall publish their crypto-asset white paper, and, where applicable, their marketing communications, following authorisation, on their website, which shall be publicly accessible, by no later than the starting date of the offer to the public of those crypto- assets or the admission of those crypto- assets to trading on a trading platform for crypto-assets. The crypto-asset white paper, and, where applicable, the marketing communications, shall remain available on the issuer’s website for as long as the crypto-assets are held by the public.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 10 – paragraph 2

2. Issuers of crypto-assets, other than asset-referenced tokens or e-money tokens, that have published a crypto-asset white paper in accordance with Article 8, and where applicable Article 11, shall not be subject to any further information requirements, with regard to the offer of those crypto-assets or the admission of such crypto-assets to a trading platform for crypto-assets.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 11 – paragraph 1

1. Issuers of crypto-assets, other than asset-referenced tokens or e-money tokens, shall modify their published crypto-asset white paper, and, where applicable, published marketing communications, to describe any change or new fact that is likely to have a significant influence on the purchase decision of any potential purchaser of such crypto-assets, or on the decision of holders of such crypto-assets to sell or exchange such crypto-assets. Any such modification requires authorisation from the competent authority.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 32 – paragraph 1

1. Issuers of asset-references tokens shall at all times constitute and maintain a reserve of assets. The aggregate value of reserve assets shall always be at least equal to the aggregate face value of the claims on the issuer from holders of asset- referenced tokens in circulation

2021/06/03
Committee: ECON

Proposal for a regulation
Article 32 – paragraph 5

5. Without prejudice to Article 30(11), issuers of asset-referenced tokens shall mandate an independent audit of the reserve assets every six months, as of the date of its authorisation as referred to in Article 19. The result of the audit shall be notified to the competent authority without delay, at the latest within six weeks of the reference date of the valuation. The result of the audit shall be published within two weeks of the date of notification to the competent authority. The competent authority may instruct the issuer to delay the publication in the event that (a) the issuer has been required to implement recovery arrangement or measures in accordance with this regulation (b) the issuer has been required to implement an orderly wind-down of its activities in accordance with this regulation ; (c) it is deemed necessary to protect the economic interests of holders of the asset- referenced token; (d) it is deemed necessary to avoid a significant adverse effect on the financial system of the home Member State or another Member State.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 1

1. Issuers of asset-referenced tokens shall ~~establish, maintain and implement clear and detailed policies and procedur~~redeem these tokens at the request o~~n the rights granted to holders of asset- referenced tokens, including any direct claim or redemption rights on the iss~~f any holder at all times at a price that is not lower than the face valuer of th~~ose asset-referenced tokens or on the reserve assets~~e holder’s claim on the issuer.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 – subparagraph 1 – introductory part

2. ~~Where holders of asset-referenced tokens are granted rights as referred to in paragraph 1, issuers of asset-referenced tokens shall establish a policy setting out~~By way of derogation from paragraph 1:

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 – subparagraph 1 – point a

(a) the ~~conditions, including thresholds, periods and timeframes, for holders of asset-referenced tokens to exercise those rights;~~issuer of an asset-referenced token may, in accordance with the applicable national law and subject to the conditions set out in the crypto-asset white paper, temporarily suspend the redemption of its tokens. In the event of a temporary suspension, the issuer shall, without delay, communicate its decision to its home Member State competent authorities.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 – subparagraph 1– point b

(b) the ~~mechanisms and procedur~~issuer’s home Member State may allow its competent authorities to ~~ensu~~require the ~~redempt~~suspension of the ~~asset- referenced~~redemption of tokens, in~~cluding in stressed market circumstances, in case of an orderly wind-down of the issuer of asset-~~ the interest of the token holders or of the public. The temporary suspension refer~~enc~~red to~~kens as referred to in Article 42, or in case of a cessation of activities by such issuer;~~ in point (a) of the first subparagraph shall be provided for only in exceptional cases where circumstances so require and where suspension is justified having regard to the interests of the token holders.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 – subparagraph 1 – point c

~~(c) the valuation, or the principles of valuation, of the asset-referenced tokens and of the reserve assets when those rights are exercised by the holder of asset- referenced tokens;~~deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 – subparagraph 1– point d

~~(d) the settlement conditions when those rights are exercis~~deleted;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 – subparagraph 1 – point e

~~(e) the fees applied by the issuers of asset-referenced tokens when the holders exercise those rights.~~deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 2 a (new)

2a. Issuers of asset-referenced tokens shall establish a policy setting out:(a) the conditions, including thresholds, periods and timeframes, for holders of asset- referenced tokens to exercise those rights; (b) the mechanisms and procedures to ensure the redemption of the asset- referenced tokens, including in stressed market circumstances, or in case of an orderly redemption of asset-referenced tokens; (c) the valuation, or the principles of valuation, of the asset-referenced tokens and of the reserve assets when those rights are exercised by the holder of asset- referenced tokens; (d) the settlement conditions when those rights are exercised

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 3

3. Where issuers of asset-referenced tokens do not grant rights as referred to in paragraph 1 to all the holders of asset- referenced tokens, the detailed policies and procedures shall specify the natural or legal persons that are provided with such rights. The detailed policies and procedures shall also specify the conditions for exercising such rights and the obligations imposed on those persons. Issuers of asset-referenced tokens shall establish and maintain appropriate contractual arrangements with those natural or legal persons who are granted such rights. Those contractual arrangements shall precisely set out the roles, responsibilities, rights and obligations of the issuers of asset- referenced tokens and each of those natural or legal persons. A contractual arrangement with cross-jurisdictional implications shall provide for an unambiguous choice of law.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 4 – subparagraph 1

Issuers of asset-referenced tokens that do not grant rights as referred to in paragraph 1 to all the holders of such asset-referenced tokens shall put in place mechanisms to ensure the liquidity of the asset-referenced tokens. For that purpose, they shall establish and maintain written agreements with crypto-asset service providers authorised for the crypto-asset service referred to in Article 3(1) point (12). The issuer of asset-referenced tokens shall ensure that a sufficient number of crypto- asset service providers are required to post firm quotes at competitive prices on a regular and predictable basis.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 4 – subparagraph 2

~~Where~~If issuers offer holders the possibility to acquire and redeem the token by paying in funds the sum equivalent to the market value of the asset-s referenced ~~tokens varies significantly from the value of the reference assets~~by the token, the issuer shall establish policies and procedures to: (a) Ensure a fair and transparent valuation by an independent person orf the ~~reserve assets, the holders of~~assets referenced by the asset-s referenced tokens ~~shall have the right to redeem the crypto-assets from the issuer of crypto-assets directly. In that case, any fee applied for such redemption shall be proportionate and commensurate wi~~; (b) adequately manage increase or decreases of the reserve to avoid any adverse impacts on the market of the assets included in the reserve. If issuers, when selling an asset -reference token, accept a payment in funds denominated in a given official currency of a country, they shall always provide the option to redeem the t~~he actual costs incurr~~oken in funds denominated byin the ~~issuer of asset-referenced tokens~~same official currency.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 35 – paragraph 5 – subparagraph 1 – point b a (new)

(ba) the conditions which need to be met by the issuer after the adoption of the temporary suspension of the redemption of tokens as referred to in paragraph 2(a), once the suspension has been decided.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 44 – paragraph 6

6. Redemption may be subject to a fee only. if stated in the crypto-asset white paper and only in any of the following cases: (a) where redemption is requested before the termination of the contract; (b) where the contract provides for a termination date and the electronic money holder terminates the contract before that date; or (c) where redemption is requested more than one year after the date of termination of the contract. Any such fee shall be proportionate and commensurate with the actual costs incurred by issuers of e-money tokens.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 1 – introductory part

1. Crypto-asset service providers shall, at all times, ~~have in place prudential safeguards equal to an amount of at least the higher of the following~~meet, at least, the requirement for own funds and eligible liabilities, as applicable:

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 1 – point a

(a) ~~the amount of permanent minimum capital requirements indicated in Annex IV, depending on the nature of the crypto-asset services provided~~for credit institutions authorised to provide crypto-asset services in accordance with this regulation the requirements for own funds and eligible liabilities in accordance with Regulation (EU) 575/2013 and Directive 2013/36/EU;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 1 – point b

(b) ~~one quarter of the fixed overheads of the preceding year, reviewed annually~~for investment firms authorised to provide crypto-asset services in accordance with this regulation the requirements for initial capital and own funds in accordance with Regulation (EU) 2019/2033 and Directive 2019/2034/EU;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 1 – point b a (new)

(ba) firms authorised to provide crypto- asset services in accordance with this regulation that are covered under (a) and (b) the requirements for initial capital and own funds in accordance with Directive 2009/110/EC.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 2

2. The prudential safeguards referred to in paragraph 1 shall take any of the following forms: (a) own funds, consisting of Common Equity Tier 1 items referred to in Articles 26 to 30 of Regulation (EU) No 575/2013 after the deductions in full, pursuant to Article 36 of that Regulation, without the application of threshold exemptions pursuant to Articles 46 and 48 of that Regulation; (b) an insurance policy covering the territories of the Union where crypto-asset services are actively provided or a comparable guarantee.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 3

3. Crypto-asset service providers that have not been in business for one year from the date on which they started providing services shall use, for the calculation referred to in paragraph 1, point (b), the projected fixed overheads included in their projections for the first 12 months’ of service provision, as submitted with their application for authorisation.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 4

4. The insurance policy referred to in paragraph 2 shall have at least all of the following characteristics: (a) it has an initial term of no less than one year; (b) the notice period for its cancellation is at least 90 days; (c) it is taken out from an undertaking authorised to provide insurance, in accordance with Union law or national law; (d) it is provided by a third-party entity.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 5

5. The insurance policy referred to in paragraph 2, point (b) shall include, coverage against the risk of: (a) loss of documents; (b) misrepresentations or misleading statements made; (c) acts, errors or omissions resulting in a breach of: i) legal and regulatory obligations; ii) the duty to act honestly, fairly and professionally towards clients; iii) obligations of confidentiality; (d) failure to establish, implement and maintain appropriate procedures to prevent conflicts of interest; (e) losses arising from business disruption or system failures; (f) where applicable to the business model, gross negligence in safeguarding of clients’ crypto-assets and funds.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 60 – paragraph 6

6. For the purposes of paragraph 1 point (b), crypto-asset service providers shall calculate their fixed overheads for the preceding year, using figures resulting from the applicable accounting framework, by subtracting the following items from the total expenses after distribution of profits to shareholders in their most recently audited annual financial statements or, where audited statements are not available, in annual financial statements validated by national supervisors: (a) staff bonuses and other remuneration, to the extent that those bonuses and that remuneration depend on a net profit of the crypto-asset service providers in the relevant year; (b) employees', directors' and partners' shares in profits; (c) other appropriations of profits and other variable remuneration, to the extent that they are fully discretionary; (d) non-recurring expenses from non- ordinary activities.deleted

2021/06/03
Committee: ECON

Proposal for a regulation
Article 70 – paragraph 1

1. Crypto-asset service providers that are authorised to execute orders for crypto- assets on behalf of third parties shall take all necessary steps to obtain, when executing orders, the best possible result for their clients taking into account the best execution factors of price, costs, speed, likelihood of execution and settlement, size, nature or any other consideration relevant to the execution of the order, unless the crypto-asset service provider concerned executes orders for crypto-assets following specific instructions given by its clients. Where a crypto-asset service provider executes an order on behalf of a retail client, the best possible result shall be determined in terms of the total consideration, representing the price of the crypto-assets and the costs relating to execution, which shall include all expenses incurred by the client which are directly relating to the execution of the order, including execution venue fees, clearing and settlement fees and any other fees paid to third parties involved in the execution of the order.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 70 – paragraph 1 a (new)

1a. Crypto-asset service providers that are authorised to execute orders for crypto-assets on behalf of third parties shall ask the client or potential client to provide information regarding that person’s knowledge and experience in crypto-assets, the client’s objectives, risk tolerance, financial situation including its the ability to bear losses, and basic understanding of risks involved in purchasing crypto-assets so as to enable the crypto-asset service provider to assess whether the crypto-asset envisaged is appropriate for the client. Where the crypto-asset service provider considers, on the basis of the information received under the first subparagraph, that the crypto-asset is not appropriate to the client or potential client, it shall warn the client or potential client.

2021/06/03
Committee: ECON

1. Crypto-asset service providers that are authorised to provide advice on crypto- assets shall assess the compatibility of such crypto-assets with the requirements and preferences demands and needs of the clients or potential client and recommend them only when th~~is is~~ey are suitable for and in the interest of the clients or potential client and, in particular, are in accordance with his or her risk tolerance and ability to bear losses.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 73 – paragraph 1 a (new)

1a. Crypto-asset service providers that are authorised to provide advice on crypto-assets shall in good time before providing advice on crypto-assets inform potential clients: (a) whether or not the advice is provided on an independent basis; (b) whether the advice is based on a broad or on a more restricted analysis of different crypto-assets and, in particular, whether the range is limited to crypto- assets issued or offered by entities having close links with the crypto-asset service provider or any other legal or economic relationships, such as contractual relationships, so close as to pose a risk of impairing the independent basis of the advice provided; Crypto-asset service providers shall also provide potential clients with information on all costs and associated charges, including the cost of advice, where relevant, the cost of crypto-assets recommended or marketed to the client and how the client may pay for it, also encompassing any third-party payments.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 73 – paragraph 3 – subparagraph 2

Crypto-asset service providers that are authorised to provide advice on crypto- assets shall warn clients that, due to their tradability, the value of crypto-assets may fluctuate, that the crypto-assets may lose their value in part or in full, that the crypto-assets may not always be transferable and that the crypto-assets may not be liquid.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 73 – paragraph 7 – point a

(a) specify the clients’ ~~demands and need~~requirements and preferences;

2021/06/03
Committee: ECON

Proposal for a regulation
Article 82 – paragraph 6 a (new)

6a. In determining, as per Title II, whether to authorise a crypto-asset competent authorities shall take into account the likely energy consumption of the proposal and reject any proposed crypto-asset that is reliant on technology which uses excessive energy. In determining this, the competent authority may consult as it sees fit and take into account European Union energy and climate policies.

2021/06/03
Committee: ECON

Proposal for a regulation
Article 123 – paragraph 1

1. ~~Articles 4 to 14 shall not apply to c~~Crypto-assets, other than asset- referenced tokens and e-money tokens, which were offered to the public in the Union or admitted to trading on a trading platform for crypto-assets before [please insert date of entry into application] can operate for a period of 6 months after [please insert date of entry into application] before Articles 4 to 14 shall apply.

2021/06/03
Committee: ECON