• Liechtenstein has adapted blockchain laws to keep up with the changing crypto landscape.
• The Token and Trusted Technology Service Providers Act (TVTG or Liechtenstein Blockchain Act) has been in force since 2020, providing a regulated environment for token-related services.
• Thomas Dünser, the project leader and co-author of the Blockchain Act, discussed crypto’s future in the country.
Liechtenstein Adapts Blockchain Laws
The Principality of Liechtenstein is one of the first countries in the world to adopt specific legislation on crypto and blockchain, namely the Token and Trusted Technology Service Providers Act (also known as TVTG or the Liechtenstein Blockchain Act). This act has been in force since 2020 and established one of the world’s first regulated environments for token-related services.
Crypto Businesses Flourish
Since 2020, more companies have been attracted to establish and develop their crypto business in Liechtenstein due to its high level of regulatory certainty and direct communication with local financial market regulator, Financial Market Authority (FMA).
Interview With Thomas Dünsen
Cointelegraph conducted an interview with Thomas Dünser, director of Liechtenstein’s Office for Financial Market Innovation and Digitization who is a senior adviser to prime minister of Liechtenstein responsible for innovation and digitalization issues within Ministry of Finance. He discussed what other qualities make this country attractive for crypto service providers as well as whether Markets in Crypto-Assets (MiCA) regulation will be compatible with its existing Blockchain Act.
FTX Collapse & Tighter Regulations?
Dünser was asked whether government planned to tighten its law after collapse of major crypto businesses like FTX, Celsius or Three Arrows Capital? He did not directly answer this question but mentioned that it is important for them to monitor any developments related to these businesses closely so that they could take any necessary action if required.
The blockchain industry is constantly evolving around the world, including in Liechtenstein which has provided an optimal conditions for companies looking to develop their crypto business there due it its advanced regulatory framework. While some businesses may not survive such a rapidly changing landscape, governments are monitoring developments carefully so that they can take any necessary action when needed.