Textual Amendments
F1Word in Sch. 1 heading substituted (27.4.2017 for specified purposes, 31.1.2018 in so far as not already in force) by Criminal Finances Act 2017 (c. 22), s. 58(5)(6), Sch. 5 para. 16(2); S.I. 2018/78, reg. 5(1)(c)
Textual Amendments
F2Sch. 1 Pts. 4BA-4BD inserted (26.10.2023 for specified purposes) by Economic Crime and Corporate Transparency Act 2023 (c. 56), s. 219(1)(2)(b), Sch. 10 para. 2
10Z7B(1)In this Part—
(a)“cryptoasset exchange provider” means a firm or sole practitioner who by way of business provides one or more of the following services, including where the firm or sole practitioner does so as creator or issuer of any of the cryptoassets involved—
(i)exchanging, or arranging or making arrangements with a view to the exchange of, cryptoassets for money or money for cryptoassets,
(ii)exchanging, or arranging or making arrangements with a view to the exchange of, one cryptoasset for another, or
(iii)operating a machine which utilises automated processes to exchange cryptoassets for money or money for cryptoassets;
(b)“custodian wallet provider” means a firm or sole practitioner who by way of business provides services to safeguard, or to safeguard and administer—
(i)cryptoassets on behalf of its customers, or
(ii)private cryptographic keys on behalf of its customers in order to hold, store and transfer cryptoassets;
(c)“cryptoasset service provider” includes cryptoasset exchange provider and custodian wallet provider.
(2)In the definition of “cryptoasset exchange provider” in sub-paragraph (1)—
(a)“cryptoasset” includes a right to, or interest in, a cryptoasset;
(b)“money” means—
(i)money in sterling,
(ii)money in any other currency, or
(iii)money in any other medium of exchange,
but does not include a cryptoasset.
(3)The Secretary of State may by regulations made by statutory instrument amend the definitions in sub-paragraphs (1) and (2).
(4)Regulations under sub-paragraph (3)—
(a)may make different provision for different purposes;
(b)may make consequential, supplementary, incidental, transitional, transitory or saving provision.
(5)A statutory instrument containing regulations under sub-paragraph (3) may not be made unless a draft of the instrument has been laid before and approved by a resolution of each House of Parliament.
(6)For the purposes of this Part—
(a)a crypto wallet freezing order is an order that, subject to any exclusions (see paragraph 10Z7BD), prohibits each person by or for whom the crypto wallet to which the order applies is administered from—
(i)making withdrawals or payments from the crypto wallet, or
(ii)using the crypto wallet in any other way;
(b)a crypto wallet is administered by or for a person if the person is the person to whom services are being provided by a cryptoasset service provider in relation to that crypto wallet.
(7)In this Part—
“enforcement officer” means—
a constable, or
a counter-terrorism financial investigator;
“relevant court” means—
in England and Wales and Northern Ireland, a magistrates’ court, and
in Scotland, the sheriff;
“senior officer” means a police officer of at least the rank of superintendent;
“UK-connected cryptoasset service provider” means a cryptoasset service provider which—
is acting in the course of business carried on by it in the United Kingdom,
has terms and conditions with the persons to whom it provides services which provide for a legal dispute to be litigated in the courts of a part of the United Kingdom,
holds, in the United Kingdom, any data relating to the persons to whom it provides services, or
meets the condition in sub-paragraph (8).
(8)The condition in this sub-paragraph is that—
(a)the cryptoasset service provider has its registered office, or if it does not have one, its head office in the United Kingdom, and
(b)the day-to-day management of the provider’s business is the responsibility of that office or another establishment maintained by it in the United Kingdom.]