The Government of Gibraltar (HMGoG) and the Gibraltar Financial Services Commission (GFSC) are developing legislation relating to tokenised digital assets (tokens), essentially those created and traded using distributed ledger technology (DLT). Following the GFSC’s Statement on Initial Coin Offerings in September 2017, Gibraltar’s Minister for Commerce, Hon. Albert Isola MP, announced that the Government’s position on initial token offerings would be formulated by this month. In December, HMGoG sought the views of local stakeholders through a discussion paper on token regulation circulated to Gibraltar’s Finance Centre Council, an umbrella organisation comprising local professional associations.
After taking into account stakeholder feedback, work has now begun on drafting legislation to regulate the promotion, sale and distribution of tokens by persons connected with Gibraltar; secondary market activities relating to tokens, carried out in or from Gibraltar; and the provision, by way of business, in or from Gibraltar of investment advice relating to tokens. A bill is expected to be considered by Parliament in the second quarter of 2018.