Digital assets and blockchain

Digital assets and blockchain

With the aim of creating the optimal conditions for Andorra to become a particularly suitable location for innovative companies, especially those linked to blockchain technology, on 30 June the General Council approved Law 24/2022 on the digital representation of assets through the use of cryptography and distributed open registry and blockchain technology.

This law offers a balance between innovation, the market, society’s preferences, technological development and the current legal framework, ensuring strict compliance with the basic pillars of the rules governing the functioning of the capital market in terms of the protection of personal data, electronic procurement, investor protection, market abuse, legislation on the prevention and fight against money laundering and the financing of terrorism, among others.

Review of the ML/FT risks arising from virtual assets

In January 2024, the UIFAND launched a risk review to assess the ecosystem of virtual assets in Andorra following the emphasis placed by international organisations on the risks of money laundering and terrorist financing derived from new technologies in the financial sphere. The methodology used for this review is that developed by the World Bank, which follows the recommendations issued by the Financial Action Task Force (FATF).