Read the CySEC Circular C798
Memo #48-2026
CySEC Circular No: C798
Date: 03/09/2026
Subject: EBA issues a Consultation Paper on draft Regulatory Technical Standards on reclassification of investment firms as credit institutions
Purpose: To inform the CIFs that the EBA launched a Consultation Paper on draft Regulatory Technical Standards (RTS) on reclassification of investment firms as credit institutions
In Summary:
CySEC has issued the Circular C798 on 02/09/2026 to inform the Cyprus Investment Firms (CIFs) that the European Banking Authority (EBA) launched on 25/08/2026 a Consultation Paper on draft Regulatory Technical Standards (RTS) on reclassification of investment firms as credit institutions (the ‘Consultation Paper’).
The consultation follows amendments introduced through the Capital Requirements Directive (CRD) framework and aims to revise the regulatory standards governing the assessment of whether an investment firm should be authorised as a credit institution.
The Consultation Paper covers:
a) the methodology for calculating total assets at both solo and group level against the EUR 30 billion threshold,
b) the reporting requirements and information to be submitted by investment firms to competent authorities for monitoring the threshold and
c) the factors and conditions that competent authorities should consider when assessing requests for a waiver from the requirement to obtain a credit institution authorisation.
CySEC further informs that interested stakeholders are invited to submit comments directly to the EBA through its consultation webpage by 25/11/2026.
In accordance with Circular C798, CySEC encourages CIFs to:
• review the Consultation Paper and accompanying draft RTS,
• assess the potential impact of the proposed requirements on their business model, group structure and prudential reporting processes,
• consider participating in the consultation process and
• monitor future regulatory developments arising from the finalisation of the RTS.
The Consultation Paper can be found on the following link:
The consultation webpage can be found on the following link:
Read the CySEC Circular C798
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