Entities have ongoing obligations to keep beneficial ownership information up to date.
Legislative developments have clarified what information needs to be reported for trusts and deemed beneficial owners....more
4/16/2025
/ Beneficial Owner ,
Cayman Islands ,
CIMA ,
Compliance ,
Disclosure Requirements ,
Filing Requirements ,
Investment Funds ,
New Legislation ,
Regulatory Requirements ,
Reporting Requirements ,
Trusts
With effect from 1 April 2025, the licensing regime under the VASP Act will be implemented, requiring those providing virtual asset custody services or operating virtual asset trading platforms to obtain a licence under the...more
Amendments to the Cayman Islands Proceeds of Crime Act came into effect on 2 January 2025 and include revisions to the suspicious activity report (SAR) process to the Financial Reporting Authority (FRA).
In addition to a...more
1/14/2025
/ Anti-Money Laundering ,
Cayman Islands ,
Compliance ,
Financial Crimes ,
Financial Regulatory Reform ,
Financial Reporting ,
Fraud ,
Money Laundering ,
New Amendments ,
Proceeds of Crime Act 2002 (POCA) ,
Reporting Requirements ,
SAR
What are the latest regulatory developments concerning the FinTech sector?
The Law Commission’s supplemental report on digital assets as personal property (report), the Property (Digital Assets etc) Bill and the recent...more
11/22/2024
/ Anti-Money Laundering ,
Collateral ,
Crypto Exchanges ,
Cryptoassets ,
Custody ,
Digital Assets ,
FinTech ,
Fraud ,
Insolvency ,
Money Laundering ,
Trusts
Under the Beneficial Ownership Transparency Act, 2023 ("BOTA"), entities that are registered as investment funds may avail themselves of an alternative route to compliance with the BOTA by appointing a Contact Person as a...more
How does the beneficial ownership reporting regime developments impact those within the fund governance function?
Introduction -
As noted in our recent advisory, the Cayman Islands' beneficial ownership reporting...more
10/16/2024
/ AML/CFT ,
Anti-Money Laundering ,
Beneficial Owner ,
Cayman Islands ,
Compliance ,
FACTA ,
Fund Managers ,
Governance Standards ,
Investors ,
Mutual Funds ,
Private Funds ,
Reporting Requirements
The government of the British Virgin Islands (“BVI”) and the BVI Financial Services Commission (“FSC”) – the principal financial services regulator – have progressed important initiatives in recent years that demonstrate the...more
9/25/2024
/ AML/CFT ,
Anti-Money Laundering ,
Beneficial Owner ,
Blockchain ,
British Virgin Islands ,
Compliance ,
Data Protection ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Economic Sanctions ,
Electronic Fund Transfer Act ,
FinTech ,
FSMA ,
Insurance Industry ,
Investment ,
Licenses ,
Misleading Statements ,
SIBA
The RSOG builds upon and clarifies existing market conduct standards for TCSPs and Company Managers where the underlying requirements are generally the same but with some differences.
The RSOG implements market conduct...more
9/5/2024
/ Advertising ,
Business Assets ,
Cayman Islands ,
CIMA ,
Conflicts of Interest ,
Corporate Management ,
Enforcement ,
Integrity Policies ,
Licenses ,
New Rules ,
Policies and Procedures ,
Risk Mitigation ,
Trusts
Changes to the beneficial ownership regime took effect on 31 July 2024 and enforcement relating to the new requirements is suspended until early 2025.
Many entities that previously had few or no obligations will have to...more
8/6/2024
/ Beneficial Owner ,
Cayman Islands ,
CIMA ,
Enforcement ,
Foreign Corporations ,
Legal Entities ,
Licenses ,
Limited Liability Company (LLC) ,
Limited Partnerships ,
Money Laundering ,
Non-Public Information ,
Penalties ,
Registered Investment Companies (RICs) ,
Regulatory Requirements ,
Special Purpose Vehicles ,
UK
On 15 March 2024, the Ministry of Financial Services and Commerce (the "Ministry") issued Technical Guidance for corporate services providers ("CSPs") to facilitate changes to internal processes in support of the transition...more
New specific licensing grounds available under Cayman Islands and BVI Russia sanctions will pave the way for Cayman Islands and BVI investment funds and other entities to divest their frozen assets in Russia as well as remove...more
Associating the Cayman Islands with money laundering has been a staple of film and television, from "The Firm" in the 1990s to, more recently, "Better Call Saul."
However, scriptwriters may need to find another location...more
Every year, we track certain key data from new funds that we help our clients launch. By reviewing this data, comparing it with similar surveys and incorporating insights from our conversations with clients, we aim to draw...more
Following the removal of the Cayman Islands from the Financial Action Task Force's list of "jurisdictions under increased monitoring" in October 2023, on 12 December 2023, the European Commission adopted the Commission...more
Following the conclusion of the most recent plenary of the Financial Action Task Force ("FATF") on 27 October 2023, the FATF has announced that the Cayman Islands has been removed from the FATF's list of "jurisdictions under...more
On 30 August 2023, following industry consultation, the Cayman Islands Monetary Authority ("CIMA") issued a new Rule and Statement of Guidance on Nature, Accessibility and Retention of Records for Licensees Conducting the...more
Following industry consultation, on 30 August 2023 the Cayman Islands Monetary Authority ("CIMA") issued updated Guidance Notes on the Prevention and Detection of Money Laundering, Terrorist Financing and Proliferation...more
9/15/2023
/ AML/CFT ,
Anti-Fraud Provisions ,
Anti-Money Laundering ,
Cayman Islands ,
CIMA ,
Cybersecurity ,
Due Diligence ,
Financial Services Industry ,
Guidance Update ,
Money Laundering ,
Policies and Procedures ,
Recordkeeping Requirements ,
Risk Assessment ,
Selfies ,
Videoconference
Approaches and developments -
The government of the British Virgin Islands (“BVI”) and the BVI Financial Services Commission (“FSC”) – the principal financial services regulator – have progressed important initiatives in...more
9/13/2023
/ AML/CFT ,
Blockchain ,
British Virgin Islands ,
Cross-Border Transactions ,
Cryptocurrency ,
Digital Assets ,
Financial Services Industry ,
FinTech ,
FSMA ,
Insuretech Sector ,
Non-Fungible Tokens (NFTs) ,
Peer-to-Peer ,
Popular ,
RegTech ,
SIBA
Approaches and developments -
The Cayman Islands has long been a leading offshore jurisdiction for investment funds, as well as a significant global financial centre overall. It is therefore not surprising that, reflecting...more
9/13/2023
/ AML/CFT ,
Cayman Islands ,
CIMA ,
Cross-Border Transactions ,
Customer Due Diligence (CDD) ,
Data Protection ,
Digital Assets ,
Economic Substance Doctrine ,
Enforcement ,
FATF ,
Financial Reporting ,
FinTech ,
Intellectual Property Protection ,
Investment Funds ,
Know Your Customers ,
Offshore Companies
Walkers' regulatory partners Lucy Frew and Ian Mason consider the learning points for financial services providers (FSPs) from recent enforcement actions by Cayman regulatory bodies.
While financial services and related...more
8/7/2023
/ AML/CFT ,
Anti-Money Laundering ,
Banks ,
Beneficial Owner ,
Cayman Islands ,
CIMA ,
Due Diligence ,
Employee Training ,
Enforcement Actions ,
FATCA ,
Financial Regulatory Agencies ,
Financial Services Industry ,
FinTech ,
Insurance Industry ,
Internal Reporting ,
Investment Funds ,
Recordkeeping Requirements ,
Securities
While there is no ‘one size fits all’ solution as to how boards of directors should regulate their business and conduct their meetings, directors must pay regard to applicable law, the fund’s memorandum and articles of...more
Directors of Cayman Islands hedge funds must conduct a fund’s affairs in a transparent and honest manner, always disclosing to the Cayman Islands Monetary Authority's ("CIMA") any substantive issues which could materially...more
The vast majority of Cayman Islands hedge funds, i.e. open-ended vehicles that pool capital and hold multiple investments, are regulated by the Cayman Islands Monetary Authority ("CIMA") under the Mutual Funds Act (the...more
While standard governance principles continue to apply (and should be followed) throughout the lifetime of a fund, the board of directors must be prepared to adapt governance practices and, for example, revisit discussions...more
8/3/2023
/ Board of Directors ,
Cayman Islands ,
Conflicts of Interest ,
Creditors ,
Economic Downturn ,
Governance Standards ,
Insolvency ,
Investment Management ,
Investors ,
Liquidity ,
Restructuring ,
Risk Management ,
Safe Harbors
Following the conclusion of the most recent plenary of the Financial Action Task Force ("FATF") on 23 June 2023, the FATF has announced that it has made the initial determination that the Cayman Islands has substantively...more