The CSSF confirms that Luxembourg investment funds can issue native tokenised units or shares, provided the operating model complies with the applicable framework. Registrar duties remain. Where traditional and tokenised holdings use multiple registrars, responsibilities must be coordinated and a consolidated view of issued units or shares maintained.
Can a Luxembourg fund issue units directly as tokens?
Yes, where its operating model complies with the rules applicable to the fund. Using a distributed ledger does not decide the securities’ legal form. Substantial changes to a fund administrator’s operating model may require CSSF authorisation.
Does a control agent replace the registrar?
No. An eligible entity must perform the fund administrator’s registrar function. A single entity may perform both roles if it holds the necessary licences and authorisations.
Can traditional and tokenised holdings use different registrars?
Yes, subject to coordinated responsibilities, investor disclosure, management of additional risks and applicable register requirements. The investment fund manager or fund administrator must maintain a consolidated view of issued units or shares.
What affects the timing of a control-agent launch?
The CSSF must be notified at least two months before activity begins. That period starts only when the CSSF confirms a complete submission. Other notifications can extend the timetable: relevant outsourcing notifications generally require three months, reduced to one month for outsourcing to a Luxembourg support PFS. Additional conditions apply to entities established in other EEA states.
Does digital operational resilience still apply?
Yes. The entities covered by the FAQ are subject to DORA as a whole, including their control-agent activities. Their information systems, controls and security arrangements must be suitable for those duties.
Can a technology provider support tokenisation?
Yes. Technical support, including smart-contract development or administration, may be outsourced under the applicable rules. The CSSF considers control-agent activity highly likely to be a critical or important function, triggering relevant assessment and notification requirements for ICT third-party arrangements.
