CRA-15.3.6
A
(a) Ensure that the digital token issuer satisfies all the requirements as applicable for offering of digital tokens ;
(b) Advise and guide the digital token issuer as to its responsibilities and obligations to ensure compliance with the CBB Law, its regulations, resolutions and directives (including these Rules and other applicable Rules of the CBB Rulebook) and all other applicable laws;
(c) Exercise its own judgment and carry out assessment on the digital token issuer’s compliance with the requirements of Chapter CRA-15 including as to whether the digital token issuer will be able to satisfy the requirement to provide an innovative solution or a meaningful security value proposition;
(d) Appoint an eligible CBB licensed retail bank for deposit of all funds raised through the digital token issue;
(e) Submit to the CBB all required information and documentation including the documents required for assessment of the digital token offer , in a timely manner;
(f) Carry out due diligence on a digital token issuer including:
(i) Understanding and verifying the business and project of the digital token issuer to ensure that the digital token issuer does not engage in any business practices appearing to be deceitful, oppressive or improper, whether unlawful or not;
(ii) Conduct background checks on the issuer’s board and senior management to ensure “fit and proper” requirements are met by the digital token issuer ;
(iii) Understand the features of the digital token to be issued by the digital token issuer and the rights attached to it;
(iv) Assess the digital token issuer’s whitepaper as well as other documents as stated in Chapter CRA-15. In assessing the digital token issuer’s whitepaper as well as other documents, the digital token advisor must ensure that the contents of the aforementioned documents include the information required under Chapter CRA-15 and that its contents are fair, accurate, complete, clear, not misleading and there are no material omissions.
(g) Disclose to the CBB, without delay, any information or explanations that the CBB may reasonably require for the purpose of verifying any information which should be taken into account in considering an application for registration of a whitepaper ; and
(h) Act as liaison between the digital token issuer and the CBB on all matters arising in connection with the registration of the whitepaper or the trading of the issuer’s digital token on the crypto-asset exchange platform.
Added: April 2023