Responsibility of the Board of Directors
SIO-5.3.10
The Board of a stablecoin issuer is responsible for overseeing the implementation of sound governance arrangements that ensure effective and prudent management of the licensee and the interest of its clients including the segregation of duties and the identification, prevention and management of conflicts of interest.
Added: July 2025SIO-5.3.11
The Board must establish and approve:
(a) the overall business strategy and the key policies of the stablecoin issuer taking into account the licensee’s long-term financial interests and solvency and interest of the clients;(b) the policies required under Paragraph SIO-5.3.2 and such policies must be consistent with the risk appetite the stablecoin issuer;(c) the organisation structure of the stablecoin issuer;(d) the overall risk strategy, the stablecoin issuer’s risk appetite and its risk management framework;(e) an effective internal control framework to ensure compliance with applicable regulatory requirements including with regard to the management of reserve assets;(f) in accordance with the requirement of Paragraph SIO-8.2.3(a), a remuneration policy applicable upon classification of an approved stablecoin as significant stablecoin;(g) the policies and procedures to identify, prevent, manage and disclose conflicts of interest, in line with Section SIO-5.8;(h) arrangements that aim to ensure the integrity of the accounting and financial reporting systems, including financial and operational controls and compliance with the law and relevant standards.Added: July 2025
