The Cyprus Securities and Exchange Commission (Cysec) have now decided to use digital ledger blockchain at the centre of their technology.
This permits for transactions to be made in digital currency. Some Cypriot investment firms have already traded in derivatives via a digital currency.
Cysec are specifically interested into the regulatory ramifications of distributed ledgers and how the technology may be able to give the agency a clearer insight into the over-the-counter markets.
The Head of Cysec Demetra Kalogirou says that the commission will re-iterate the exploitation of the blockchain technology behind the growth and use of virtual currencies. She also went on to promise to alter the method for transferring assets and foreign exchange.
Kalogirou explained that the exchange and securities commission engage with the special committee which was set up by the European Securities and Markets Authority (ESMA). The committee deals with collaboration regarding supervisory and regulatory approaches to new or innovative financial agents or services.