Article 88F Qualifying cryptoassetsF1

(1)

A qualifying cryptoasset.

(2)

A “qualifying cryptoasset” means a cryptoasset which is—

(a)

fungible,

(b)

transferable,

(c)

not solely a record of value or contractual rights, including rights in another cryptoasset, and

(d)

not excluded by paragraph (4).

(3)

For the purposes of paragraph (2)(b), the circumstances in which a cryptoasset is to be treated as “transferable” include where it confers transferable rights.

(4)

A cryptoasset does not fall within paragraph (1) if it is—

(a)

a specified investment cryptoasset, other than one specified by—

(i)

article 74A (electronic money); and

(ii)

article 88F (qualifying cryptoassets);

(b)

electronic money;

(c)

currency of the United Kingdom or any other country or territory, including a central bank digital currency;

(d)

a cryptoasset that—

(i)

cannot be transferred or sold in exchange for money or other cryptoassets, except by way of redemption with the issuer, and

(ii)

can only be used by the holder—

(aa)

to acquire goods or services from the issuer, or

(bb)

to acquire goods or services within a limited network of service providers which have direct commercial agreements with the issuer.

Annotations

Textual amendments

F1: Arts. 88F, 88G inserted (25.2.2026 for specified purposes) by The Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026 (S.I. 2026/102), regs. 1(2)(3), 40(11) (with regs. 53-56)