MiCAR White Paper
MiCAR regulatory compliance white paper. EU Markets in Crypto-Assets Regulation compliance documentation for Vultisig.
This document addresses Vultisig's compliance considerations under the European Union's Markets in Crypto-Assets Regulation (MiCAR).
Overview
The Markets in Crypto-Assets Regulation (MiCAR) establishes a comprehensive regulatory framework for crypto-assets in the European Union. This white paper outlines how Vultisig's architecture and operations relate to MiCAR requirements.
Vultisig Classification
Non-Custodial Software
Vultisig is non-custodial wallet software—it provides tools for users to manage their own digital assets without Vultisig taking custody or control.
Key characteristics:
No custody: Vultisig never holds user funds
No private key access: Keys are never constructed; vault shares remain with users
User sovereignty: Users maintain complete control over their assets
Software Provider vs. CASP
Under MiCAR, Crypto-Asset Service Providers (CASPs) require authorization. Vultisig's role as a non-custodial software provider differs from regulated custody services:
Asset Control
Provider holds assets
User holds assets
Key Management
Provider manages keys
User manages vault shares
Recovery
Provider can recover
Only user can recover
Regulatory Status
Requires CASP license
Software tool
Technical Architecture
Threshold Signatures
Vultisig uses threshold signature schemes (TSS) where:
No single private key is ever created
Vault shares are distributed across user devices
Signatures require threshold collaboration
Vultisig has no access to signing capability
Data Handling
Vultisig minimizes data collection:
No user registration required
No KYC/identity verification
No transaction data storage
Vault data stored locally on user devices
User Protections
Transparency
Open source: All code publicly auditable
Documentation: Comprehensive user guides
Risk disclosure: Clear communication of self-custody responsibilities
Security
Audited code: Independent security assessments
No single point of failure: TSS architecture
User education: Best practices documentation
Regulatory Engagement
Vultisig is committed to:
Monitoring regulatory developments
Engaging with regulators constructively
Adapting to evolving requirements
Maintaining transparency with users
Disclaimers
This white paper is for informational purposes only and does not constitute legal advice. Regulatory interpretations may vary by jurisdiction and may change over time.
Users are responsible for:
Understanding applicable regulations in their jurisdiction
Complying with local laws regarding digital assets
Seeking professional legal and tax advice as needed
Contact
For regulatory inquiries:
Email: [email protected]
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