MiCA: National Security Commission and Shareholder Approval

Europe in Locks for the CASPs in 2025

As the regulatory landscape for crypto-assets evolves, the Markets in Crypto-Assets (MiCA) regulation introduces a structured framework for market participants in the European Union. One key requirement before initiating the MiCA application process is obtaining approval for company shareholders, ensuring compliance with national security commission.

Why is Shareholder Approval Necessary?

The approval process aligns with legislative mandates designed to safeguard national security by ensuring transparency in shareholder ownership and activities. This requirement is a crucial preliminary step that underpins the broader goals of MiCA, fostering trust and integrity within the crypto-asset market.

Key Steps in the Approval Process

The shareholder approval process involves:

1. Comprehensive KYC Procedure: Shareholders undergo a rigorous Know Your Customer (KYC) process to verify their identities and assess their backgrounds.

2. Information Collection: Authorities require detailed information, including:

   • Ownership of assets.

   • The nature of activities conducted by associated companies.

   • Other relevant profile details.

3. Regulatory Review: Submitted information is carefully reviewed to identify potential risks or conflicts related to national security.

Timeline for Approval

The approval process typically takes about 30 days. It’s advisable to initiate this step as early as possible to avoid delays in the MiCA application process.

What Companies Need to Do

To ensure a smooth process, companies should:

• Gather all necessary documentation for each shareholder.

• Maintain accurate and up-to-date records of shareholder activities and asset ownership.

• Collaborate with legal and compliance experts to meet all regulatory requirements.

How This Requirement Supports MiCA Goals

By emphasizing shareholder transparency, this measure bolsters the regulatory framework’s integrity. It ensures that entities operating under MiCA are not only compliant with financial regulations but also contribute to broader national security objectives.

Final Thoughts

The shareholder approval process is an essential step in preparing for MiCA compliance. By understanding and adhering to these requirements, companies can streamline their application process and align with the evolving regulatory environment.

For more details, you can review the legislation https://e-seimas.lrs.lt/portal/legalAct/lt/TAD/00f280d16d6411e89a0fd2d617326139/asr or contact us.