Regulatory Watch – Lux Edition – June 2023

Find out more on the latest news on The Blockchain Ill Law, completing DLT activity, how the Circular CSSF-CPDI23/34, will provide a framework for the rules of the FGDL, entry into force of Final MICA approbation, and the latest challenges to apply Draft European Sustainability Reporting Standards (ESRS). Furthermore, don’t forget to have a look on CSDDD – Corporate Sustainability Due Diligence Directive and discover our Regtech Corner with the presentation of  Governance.com.

The Blockchain III Law, completing DLT activity

The adoption of the Blockchain III Law by the Luxembourg Parliament marks another significant step in modernizing the country’s legal framework to embrace the digital era and accommodate the use of distributed ledger technology (DLT) in the financial sector. This law, published on 17 March 2023, introduces amendments to existing financial laws, including the Financial Sector Law, the Financial Collateral Law, and the Law on Markets in Financial Instruments.

European supervisors define the scope of “Greenwashing”

On June 1, the European Supervisory Authorities (EBA, EIOPA and ESMA – ESAs) published their Progress Reports on Greenwashing in the financial sector. In these reports, the ESAs put forward a common high-level understanding of greenwashing applicable to market participants across their respective remits – banking, insurance and pensions and financial markets.

CSSF data collection for SFDR: submission deadline has been pushed, but this exercise’s challenge is no less daunting

On the 24^th March 2023, the CSSF issued a new requirement calling the asset managers for the submission a new report containing information related to the SFDR pre-contractual information now live since January 2023.

To meet this requirement, asset managers should report SFDR pre-contractual data listed in the CSSF’s Excel form for all their UCITs and AIFs. This exercise will cover all the SFDR fund types, but the Article 6 information will be only limited to the integration of the sustainability risk and PAIs consideration as those funds are not required to provide the SFDR pre-contractual document.

The EET (ESG European template) : Things to know to ensure a successful distribution

The EET, European ESG Template has been jointly built by a set of financial European organizations and industry experts to standardize the exchange of ESG-related information between product manufacturers, distributors, and insurers.

Final MICA approbation

The European Parliament on its plenary of 20 April 2023 voted for the proposal for a regulation on Markets in crypto-assets (MiCA) and it has been published in the Official Journal of the European Union on June 9, 2023. The Regulation enters into force on the 20th day following that of its publication.

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