Proceeds of Crime
(Supervisory Bodies) (Virtual Currency Exchange Business) (Exemption) (Jersey)
Made 23rd September 2016
Coming into force 26th
THE CHIEF MINISTER, in pursuance of Articles 10 and 44 of the Proceeds of Crime (Supervisory
Bodies) (Jersey) Law 2008, orders as follows –
this Order, unless otherwise indicated or required by the context –
“calendar year” means a year beginning on 1st January
and ending on the following 31st December;
money other than virtual currency, whether in the form of cash or any
“Law” means the
Proceeds of Crime (Supervisory Bodies) (Jersey) Law 2008;
“turnover” has the
meaning given by paragraph (2);
“virtual currency” has
the meaning given by the Proceeds of Crime (Jersey) Law 1999; and
“virtual currency exchange
business” means a business of the kind described in paragraph 9
of Part B of Schedule 2 to the Proceeds of Crime (Jersey) Law 1999.
the purposes of this Order “turnover”, in relation to a virtual
currency exchange business carried on by a person, means the cumulative total,
during a calendar year, of currency –
is, in the course of the person’s carrying on that business, bought from,
or sold to, customers of the business in exchange for virtual currency; and
in sterling in accordance with generally accepted accounting principles.
of exemption (turnover less than specified amount)
(1) A person
who carries on virtual currency exchange business is a person prescribed for
the purposes of Article 10(2)(a)(ii) of the Law, provided that the person
notifies the supervisory body –
the person intends to carry on, or is carrying on, virtual currency exchange
the turnover of that business as calculated by the person in accordance with Article 1(2) –
(i) in the calendar
year immediately preceding the notification (the “current year”), is
less than £150,000, and
(ii) in each complete
calendar year preceding the current year (if any), was less than £150,000;
the amount of turnover.
disapplication of the Law by virtue of this Article and Article 10(2) of
the Law is subject to the
restrictions for which further provision is made by Article 3.
person shall, within the period of 3 months beginning with the day on
which the person ceases to carry on the virtual currency exchange business of
which notification was given under paragraph (1), notify the supervisory
body of that fact and of the date of such cessation.
person who has –
notification under paragraph (1); but
not to commence the virtual currency exchange business to which the notification
shall, within the period of 3 months beginning with the day on
which the decision was taken, notify the supervisory body of that decision and
of the date of the decision.
person who has given notification under paragraph (1) shall continue to be
a person prescribed as provided in that paragraph, if and for so long as the
person further notifies the supervisory body –
the amount of turnover in each calendar year, being less than £150,000;
later than 31st March in the year immediately following the calendar year in
respect of which the further notification is given.
exemption conferred by Article 2 is restricted to Part 3 (apart from Article 10(2))
and Part 4 of the Law.
(2) Parts 1,
2, 5 and 6 of the Law shall continue to apply in relation to a person prescribed
under Article 2(1) (with all necessary modifications) as they apply in
relation to a registered person, or to a regulated person, as the case may be.
Article 2(1)(b) and (3), a person shall not be taken to have committed any
offence under Article 10(4) of the Law for a period of 3 months
beginning with the day on which the turnover of the person’s virtual
currency exchange business, in the calendar year immediately preceding that day
is or exceeds £150,000.
within the period of 3 months mentioned in paragraph (1), a person to
whom that paragraph applies makes an application to the supervisory body for
registration under the Law, the person shall not be taken to have committed any
offence under Article 10(4) of the Law until on or after –
day on which the application is finally determined (including as a result of an
appeal to the Court under Article 19 of the Law) or is withdrawn; or
the event that the application is refused, such later date as may be specified
by the supervisory body or the Court.
This Order may be cited as the Proceeds of Crime (Supervisory
Bodies) (Virtual Currency Exchange Business) (Exemption) (Jersey) Order 2016
and shall come into force on 26th September 2016.
SENATOR I.J. GORST