Synopsis: The digital asset business regulation is designed to ensure market integrity, transparency and investor protection in the securities market.
The Financial Services Authority Council (FSA Council) Wednesday approved the draft proclamation (Prakas) on digital asset businesses proposed by the Securities and Exchange Regulator of Cambodia (SERC), aiming to set clear rules for companies and protect investors in the securities market.
Aun Pornmoniroth, Deputy Prime Minister and Minister of Economy and Finance (MEF), and also Chairman of the FSA Council, chaired the 27th FSA Council meeting, accompanied by Ros Seilava and Ngy Tayi, both Secretaries of State of MEF, in Phnom Penh on December 24.
Key participants included Sou Socheat, Director General of SERC, Sok Dara, Director General of the Trust Regulator (TR), Bou Chanphirou, Director General of the Insurance Regulator of Cambodia (IRC), and Bou Tharin, Director General of the Accounting and Auditing Regulator (ACAR), members of the FSA Council.
During the meeting, FSA Council members reviewed seven agenda items prepared by SERC financial experts, discussing key policy and technical issues to ensure alignment with Cambodia’s financial sector development goals.
The main focus of the draft proclamation was on the licensing and management of digital asset businesses, which outlined the legal and operational framework for companies operating in this fast-growing and evolving sector.
After detailed discussions on both technical and policy aspects to ensure compliance with international best practices, the FSA Council approved SERC’s proposed regulation.
According to a SERC press release, the approved draft proclamation is divided into nine chapters and 63 clauses, aiming to set out clear procedures for licensing, renewing licenses, and fulfilling other obligations for digital asset service providers and digital asset agents.
The rules were designed to ensure market integrity, transparency and investor protection. It applied to all activities related to digital assets except those used as a payment mechanism in Cambodia, the statement added.
By approving this draft proclamation, the FSA Council prioritised advancing the implementation of the Royal Government’s policies to promote national economic growth, in line with the Cambodian Financial Technology Development Policy 2023-2028.
Launched in October 2023, the policy was designed to enhance financial inclusion, promote innovation, and develop a vibrant fintech ecosystem that supports Cambodia’s digital economy while ensuring financial sector stability and improving access to services for all, including underserved areas.
It should be noted that the FSA Council is responsible for the regulation and supervision of the non-bank financial services, including insurance, private pension, securities, social security, trust, accounting and auditing, real estate and pawnshop sectors.
