According to Foresight News, Luxembourg has passed (Blockchain Law 4) which aims to simplify the adoption of DLT in securities. This is the country’s fourth blockchain law.

Under current DLT securities law, Luxembourg adopts a two-tier concept involving a central account keeper, similar to a central securities depository (CSD), but less onerous. The second tier involves the account keeper, i.e. the custodian.

An EU credit institution, investment firm or central securities depository (CSD) can act as a control agent. It does not need to be licensed in Luxembourg, but must notify the supervisory authority (CSSF) several months in advance.