1AB

For the purposes of sub-paragraph (1)(j), “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—

a

exchanging or arranging or making arrangements with a view to the exchange of, cryptoassets for money or money for cryptoassets,

b

exchanging, or arranging or making arrangements with a view to the exchange of, one cryptoasset for another, or

c

operating a machine which utilises automated processes to exchange cryptoassets for money or money for cryptoassets.

1AC

For the purposes of sub-paragraph (1)(k), “custodian wallet provider” means a firm or sole practitioner who by way of business provides services to safeguard, or to safeguard and administer—

a

cryptoassets on behalf of its customers, or

b

private cryptographic keys on behalf of its customers in order to hold, store and transfer cryptoassets.

1AD

For the purposes of sub-paragraphs (1AB) and (1AC), “cryptoasset” means a cryptographically secured digital representation of value or contractual rights that uses a form of distributed ledger technology and can be transferred, stored or traded electronically.

1AE

For the purposes of sub-paragraph (1AB)—

a

“cryptoasset” includes a right to, or interest in, the 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.

1AF

The Secretary of State may by regulations amend the definitions in sub-paragraphs (1AB) to (1AE).”