| 1. |
VASPs providing Exchange Services shall publish and enforce a code of conduct or other rules for all participants on their trading venue. |
| 2. |
The code of conduct required under Rule III.A.1 of this Exchange Services Rulebook should provide VASPs the rights and/or power to implement disciplinary actions against participants on their trading venue where they breach any Regulations, Rules or Directives. |
| 3. |
VASPs providing Exchange Services shall ensure that the code of conduct provides them the necessary rights and/or powers to issue, impose, require or collect, the following—
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a. |
warnings; |
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b. |
reprimands; |
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c. |
training; |
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d. |
qualification minimums; |
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e. |
remediation plans; |
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f. |
compliance audits; |
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g. |
restitution; |
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h. |
contractually agreed penalties; |
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i. |
conditions on trading; |
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j. |
trading prohibitions; |
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k. |
suspensions and restrictions to trading; |
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l. |
expulsions; |
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m. |
cancellation of a client’s orders and any outstanding instructions from that client; |
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n. |
report any breaches to VARA; and |
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o. |
criminal referrals.
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| 4. |
VARA shall have authority to pursue such additional remedies or disciplinary measures against participants of the trading venue of a VASP providing Exchange Services as it determines and may, in its sole and absolute discretion, delegate to a VASP providing Exchange Services the ability to enforce such additional remedies or disciplinary measures upon its written consent. |
| 5. |
In addition to the above, VARA may require the suspension of trading of any Virtual Asset with effect from such time as it may determine if there are reasonable grounds to suspect non-compliance with this Part III of this Exchange Services Rulebook. If VARA has required the suspension of trading of any Virtual Asset, it may impose such conditions on the procedure for lifting the suspension as it considers appropriate. |
| 6. |
VASPs providing Exchange Services shall ensure that—
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a. |
their code of conduct or other rules with respect to the conduct of their clients and trading venue participants are fairly disclosed to all relevant Entities; and |
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b. |
clients provide valid acceptance to such rules in the Client Agreement in accordance with applicable laws.
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