Mr. G.Zandanshatar, Chairman of the State Great Hural (Parliament) of Mongolia has been utilizing the recess of parliament to visit and work at organizations that report directly to the State Great Hural of Mongolia.
On January 31, 2022, the Chairman worked at the Financial Regulatory Commission and met with the Commission’s management team.
At the beginning of the meeting, Mr. G.Zandanshatar highlighted that, “The Law on the Legal Status of the Financial Regulatory Commission was approved in 2005. There is an urgent need to review the industry model by way of evaluating current market conditions and global trends, and to redevelop and improve the legislative framework in accordance with modern requirements.” For instance, he warned that there is a growing need to protect stakeholders and the public from possible risks associated with virtual capital markets, by properly disseminating information and informing the public about the virtual capital markets, its stakeholders and products – better known by the names of tokens and coins.”
The Chairman further noted, "as a regulatory organization of your industry, the Financial Regulatory Commission is to establish a working group in cooperation with state organizations whose main function is to carry out oversight activities, with the goal of researching and compiling information on the entities who used to and those who are currently operating activities of providing virtual asset services, the number of tokens and coins associated with these entities, and determining the amount of funds that have been pooled as of date. Furthermore, it is imperative that the work related to investigating the expenditure of these establishments and their related parties who have pooled funds by way of launching tokens and coins is expedited, and that cooperation with all related organizations in accelerating the speed in which analysts, experts and relevant persons carry out their work. In consideration of their analysis and conclusion, it is necessary to transfer cases indicating a nature of crime be transferred to the relevant law enforcement agencies.”
Also, the Financial Regulatory Commission was assigned time-bound tasks of submitting and reporting to the State Great Hural, a record of whether management staff at the Financial Regulatory Commission have any ownership relationship with Non-Banking Financial Institutions; to establish a working group to conduct an investigation in regards to the virtual assets market.