Transitional Arrangements

One of the biggest highlights of the draft is the formal introduction of a phased transition period, which will directly affect companies currently registered in the Polish VASP.

Registered VASPs can continue to operate under current regulations for 4 months after the new law comes into effect.

The transition period may be extended to 9 months if the following conditions are met:

The enterprise shall submit a complete CASP license application within 3 months after the new law takes effect;

The enterprise receives confirmation of the completeness of the application in accordance with MiCA regulations.

According to the draft, the VASP register will be abolished on the day following the expiration of the ninth month from the entry into force of the law.

Contents of article 163, paragraph 1

From the date of entry into force of this Act to the date of granting a license under Article 59, paragraph 1 (a) of the MiCA, or the date of refusal to grant a license, entities that have been included in the registration of virtual currency activities on the date of entry into force of the new Act may continue to provide the services referred to in Article 2, paragraph 1, paragraph 12 of the amended Act of Article 156 in accordance with the original provisions for a maximum:

4 months from the date of entry into force of the law;

This may be extended to 9 months if the entity submits a complete application within 3 months from the date of entry into force of the law and receives a notification under Article 63 (4) of the MiCA;

Provided that the entity is not deregistered within this period.

When will the Polish CASP license application start?

At present, the bill is still in the draft stage and has not yet been passed. The recent presidential elections may lead to delays in the legislative process. The bill is expected to be passed in June or July 2025, but it will most likely not take effect until after the summer.

If true, the CASP license application process is expected to start in the third quarter of 2025, and VASPs are expected to complete the entire licensing process by mid -2026.

Basis for deregistration of VASP registration

The draft not only clarifies the transitional arrangements, but also sets out the specific conditions for the cancellation of VASP registration during this period. Although the Register will be retained for a maximum of nine months (see Article 167), it does not mean that all entities will automatically maintain their registration until the end of the period.

The registration authority may cancel the registration of an entity on the basis:

1. Lack of necessary business registration information

Natural persons: Not registered in CEIDG (Central Register of Economic Activities)

Legal persons or other organizations: Not registered in the KRS (National Court Register)

2. Hindering regulatory review

It may also be deregistered if the following acts exist during the transition period:

two consecutive failure to respond to a regulatory letter sent to a CEIDG or KRS registered address;

Rejection or failure to receive the notice of prospective inspection;

a legal representative is removed but a new representative is not registered with KRS;

The registered address was removed but not updated.

These provisions are intended to prevent abuse of transitional rights by inactive or non-transparent entities.

3. Violation of anti-money laundering compliance requirements

An entity may also be deregistered if the General Ombudsman for Financial Information (GIIF) notifies the entity of two non-compliance with anti-money laundering obligations (e. g. quarterly section 76 filings).

New Requirements for Terms of Service

The bill also sets out clear requirements on the "terms and conditions" of crypto-asset services:

Pursuant to draft article 5:

All services provided by CASP must be based on a written agreement with clear terms of service;

Terms of Service must state:

The rights and obligations of both the CASP and the Client;

Agreement signing and termination process;

Provisions on delegation of authority;

The format and scope of the statement of financial position to be provided by the customer before signing the contract (it must be in written form).

The only exception is an exemption from the use requirement if the structure or circulation of the crypto asset is not suitable for standardized terms.

These provisions are intended to promote transparency and legal clarity between CASP and its customers. For VASPs preparing to apply for a Polish CASP license, it is important to ensure that all customer agreements and related documents comply with the new regulations.

Companies are advised to at least:

Prepare or revise the terms of service;

Establish a process for collecting customer financial statements.

Although the draft requires the statement to be in writing, it does not specify what needs to be included in the statement.

In practice, the most common practice is for the customer to sign paper documents and the two parties to exchange signed copies, but this approach can significantly delay the process in remote operations.

A viable alternative is to use the electronic form of the legal effect of the instrument, provided that the document is signed by a qualified electronic signature.

Crypto-asset lending is open again

The draft removes the original ban on crypto-asset lending ". This makes room for lending platforms or similar DeFi services. However, the activities must still be approved by CASP and follow MiCA's Risk Management and Code of Conduct.

Eligibility Requirements for Crypto Asset Advisory

The person providing crypto-asset services or crypto-asset-related advice/information must be an employee or contractor of CASP and must have knowledge and competence in the financial markets.

If a person does not have the above capabilities, he or she may still provide information, but only under the supervision of a qualified person and under the legal responsibility of the supervisor.