LCX Receives Liechtenstein Financial Market Authority Approval for Eight License Categories
Liechtenstein Cryptoassets Exchange (LCX) announced yesterday that it has become the first crypto exchange to receive approval from the Liechtenstein Financial Market Authority (FMA) for eight categories of licenses.
Until now, LCX has been operating under the transitional provisions of the Blockchain Act. The newly granted licenses under the Token and Trusted Technology Service Provider Act (TVTG) will allow LCX to offer a broader range of regulated services.
Headquartered in Liechtenstein, LCX also maintains offices in Switzerland and India. The company is a member of the World Economic Forum’s Centre for the Fourth Industrial Revolution (C4IR) and has been recognized as a Blockchain Pioneer by the Blockchain Research Institute.
LCX comprises several offerings: the LCX STO Launchpad, a tokenization platform that automates fundraising and investor management on the blockchain; the LCX Terminal, which combines news, analytics, trading signals, and real-time and historical encrypted market data; and the LCX DeFi Terminal, currently in beta, a decentralized trading platform built on Uniswap.
Monty C.M. Metzger, founder and CEO of LCX, said, “We have been committed for a long time to building a secure, fully regulated, and reliable business while delivering a seamless user experience. Being one of the first crypto platforms to receive blockchain licenses in Liechtenstein is a major milestone. We look forward to launching new compliant and innovative products and services in 2021.”
Regarding the scope of authorized services, LCX now has regulatory approval to operate as a Trusted Technology (TT) exchange service provider, a token and TT key custodian, a TT price and identity service provider, and a token generator and issuer for its own account or on behalf of clients.
The term “Trusted Technology” (TT) is used broadly to include blockchain technology, distributed ledger technology, cryptocurrencies, and digital assets.
This milestone follows LCX’s announcement three months earlier of a partnership with the Swedish RegTech firm Pliance. LCX integrated Pliance’s technology and APIs to strengthen anti-money laundering processes, including sanctions screening, anti-terrorism financing measures, and politically exposed persons (PEP) screening.
With the introduction of the TVTG earlier this year, Liechtenstein established one of the first comprehensive regulatory frameworks for the blockchain industry, providing clear definitions and specific requirements for products, assets, and services delivered via blockchain technology.
Even Liechtenstein’s royalty has expressed support—H.S.H. Prince Michael of Liechtenstein stated, “Blockchain is a disruptive technology that will change the financial sector.”