In accordance with the provisions of the Virtual Assets Act 2022 of Botswana, the Regulatory Authority outlines the requirements and responsibilities related to the assignment or transfer of a license or beneficial ownership.
Here are the key stipulations:
Approval of Assignment or Transfer:
Founder’s Responsibilities:
Upon the Regulatory Authority’s approval of the assignment or transfer of a license or beneficial ownership, the founder is obligated to obtain and maintain accurate information concerning the transfer.
Submission of Information:
The founder is required to submit the accurate information obtained to the beneficial owner (excluding financial institutions) promptly and securely.
Beneficial Owner’s Responsibilities:
The beneficial owner must obtain and maintain accurate information regarding the assignment or transfer.
Record-Keeping and Availability:
Prescribed Form and Manner:
Both the founder and beneficial owner are mandated to record the information obtained in a form and manner as prescribed by regulations.
Readily Available Information:
The recorded information must be readily available for inspection by the Regulatory Authority and other competent authorities or comparable bodies upon request.
Risk-Based Policies and Procedures:
Verification Process:
Before executing the transfer of the license or beneficial ownership, the founder must establish risk-based policies and procedures.
Completeness and Consistency Checks:
The founder’s policies and procedures must include checks to ensure the completeness and consistency of the information required for the transfer.
By imposing these stringent requirements, the Virtual Assets Act ensures that the transfer of licenses and beneficial ownership is accompanied by accurate and transparent information. This framework promotes regulatory oversight, risk mitigation, and the integrity of virtual asset businesses within Botswana.
