FSC updates its Guidance Notes on Security Token Offerings and Security Token Trading Systems

On the 15th March, the Financial Services Commission of Mauritius (“FSC”) issued a communiqué on the updated Guidance Notes on Security Token Offerings and Security Token Trading Systems.

The paragraph 13 of the Guidance Notes on Security Token Offerings and Security Token Trading Systems has been amended to enable a Securities Trading System (“STS”), licensed under Section 11 of the Securities Act, to hold custody of Security Tokens.

The FSC shall grant its approval to an STS to hold custody of Security Tokens:

• If it is demonstrated to the satisfaction of the FSC that the business model and infrastructure of the STS would not require the services of a separate custodian; and
• Subject to such terms and conditions as the FSC deems fit.

We invite you to consult the full guidance notes here.