On 06 December 2024, the Czech National Bank (CNB) was designated as the competent authority under the European Union’s Markets in Crypto-Assets Regulation (MiCA), in accordance with the draft Act on the Digitalisation of the Financial Market. The law was approved by the Chamber of Deputies on 6 December 2024 and subsequently forwarded to the Senate on 30 December 2024. The legislation is expected to take effect the day after its promulgation. Until then, the CNB does not hold the authority to process applications or notifications under MiCA Regulation (EU) 2023/1114.
The Act on the Digitalisation of the Financial Market is currently under discussion in the Parliament of the Czech Republic and, once in effect, will enable the CNB to receive and process applications and notifications relating to crypto-assets. The CNB’s regulatory scope will extend to various aspects of the crypto-asset market, ensuring compliance with MiCA’s provisions. The transition follows the EU-wide regulatory framework, which became fully applicable on 30 December 2024, establishing a harmonised regime for crypto-assets across the European Union.
The EU MiCA Regulation, formally known as Regulation (EU) 2023/1114, was introduced to provide a structured regulatory framework for crypto-assets across EU member states. It amends Regulations (EU) No 1093/2010 and (EU) No 1095/2010 and Directives 2013/36/EU and (EU) 2019/1937. As part of its implementation within the Czech Republic, the Act on the Digitalisation of the Financial Market designates the CNB as the primary authority responsible for MiCA’s enforcement.
Under the proposed draft law, the CNB will process the following applications and notifications:
- Notifications of white papers for crypto-assets that are not classified as asset-referenced tokens (ARTs) or electronic money tokens (EMTs).
- Applications for authorisation from non-bank ART issuers, as well as applications for white paper approvals from ART issuers that are banks.
- Notifications from EMT issuers regarding their intent to offer EMTs publicly or seek admission to trading, along with the required white paper submissions.
- Applications for authorisation as a crypto-asset service provider (CASP) and notifications from entities already regulated by the CNB, including credit institutions, central securities depositories, investment firms, electronic money institutions, management companies, and regulated market operators.
Entities authorised to provide crypto-asset services under a trade licence before 30 December 2024 will be permitted to continue operations under transitional provisions. Those submitting CASP applications by 31 July 2025 will be allowed to operate until a final decision is made, but no later than 01 July 2026.
The EU MiCA Regulation became fully applicable across the European Union on 30 December 2024, following its adoption by the European Parliament and Council on 31 May 2023. In the Czech Republic, the Chamber of Deputies approved the Act on the Digitalisation of the Financial Market on 06 December 2024, and the bill was subsequently forwarded to the Senate on 30 December 2024. Once the legislative process is finalised, the law will enter into force the day after its promulgation, officially enabling the CNB to begin processing MiCA-related applications and notifications.
The CNB’s designation as the competent authority under MiCA will bring the Czech Republic’s financial market in line with EU regulations. The CNB will oversee the implementation of EU MiCA’s provisions, focusing on compliance, consumer protection, and risk management in the digital asset market.
For market participants, the transition introduces new authorization and compliance requirements, particularly for CASPs, ART issuers, and EMT issuers. Entities seeking to operate within the Czech crypto-asset market must comply with EU MiCA’s reporting, disclosure, and regulatory standards. The implementation timeline will depend on the completion of the legislative process, with the CNB ready to begin receiving applications as soon as the Act on the Digitalisation of the Financial Market takes effect.
