ACCESS invited us to feedback to the Securities Commission on Mar 29, 2019.
As reported in the 4th Edition of the ACCESS Blockchain Association (Malaysia) Q2/2019 Newsletter:
26 March 2019 – Meeting with Securities Commission (SC) Malaysia. Exco Members from Access Malaysia (Aaron, Colbert, Adam) and Celebrus Advisory (our corporate members Edmund and Caleb) attended a knowledge sharing meeting in regard to the SC’s Public Consultation Paper (No. 1/2019) for the proposed regulatory framework for the issuance of digital assets through initial coin offerings (ICOs). Edmund from Celebrus Advisory proposed a framework for regulating ICOs based on securities laws while Caleb (Celebrus Advisory) provided an overview of the different token protocols commonly used by ICOs.
In summary the proposal discussion revolved around these few points.
- Adopt and adapt the Principal Adviser approach under the LOLA framework, for the lodgment or submission of proposals.
- Market Operators may not be able to fulfil their obligations like Principal Advisers and are vulnerable to conflicts of interest.
- The Principal Adviser has to team up with Qualified Third Parties as many of the ICO assessment requirements are technical in nature.
- Disclosure by itself is not enough; need to shift to merit-based approach with greater advisory oversight and accountability.
For more information, visit https://access-my.org/