Jamaica’s House of Representatives began reviewing the Virtual Assets Service Providers Act on Sept. 22, a bill that would create a licensing and regulatory framework for cryptocurrency exchanges and other virtual asset service providers. The proposal would also bring those firms under international standards tied to anti-money laundering compliance.
Under the bill, any company offering virtual asset services to consumers in Jamaica would need a license from the Financial Services Commission, or FSC, regardless of where the company is headquartered. Operating without a license would be treated as a criminal offense. Licensed firms would also be required to carry out customer identity verification, transaction monitoring, and suspicious activity reporting.
Jamaica’s Finance Minister Fayval Williams said an FSC license would regulate how a business operates, but would not amount to official recognition or a government guarantee of any digital asset traded by that firm. She also said the Jamaican dollar would remain the country’s only legal tender, while the FSC would be empowered to license, supervise, and shut down virtual asset businesses that violate the rules.
Jamaica’s House of Representatives began reviewing the Virtual Assets Service Providers Act on Sept. 22. The bill would set up a licensing and regulatory framework for cryptocurrency exchanges and other virtual asset service providers, and would require them to follow international standards including anti-money laundering rules.
License requirement would apply to firms serving Jamaican consumers
Under the bill, any business providing virtual asset services to consumers in Jamaica would need a license from the Financial Services Commission (FSC), no matter where the company is headquartered. Operating without a license would constitute a criminal offense.
Licensed firms would face compliance duties
Entities that receive approval would also need to carry out customer identity verification, transaction monitoring, and suspicious activity reporting.
Finance minister says license is not an endorsement of digital assets
Finance Minister Fayval Williams said an FSC license would cover business operations only and would not amount to official recognition or a guarantee of the digital assets being traded. The Jamaican dollar remains the country’s only legal tender, and the FSC would be authorized to license, supervise, and close virtual asset businesses that break the rules.
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