Update to Registration Procedure in Line with European Crowdfunding Regulation
As of Monday, 1 January 2024, Capital Circle complies with European legislation for Crowdfunding Service Providers through the implementation of a new registration procedure. This update enhances Capital Circle’s ability to protect and serve the interests of its investors.
One of the key implications of the European Crowdfunding Regulation (ECSP 2020/1503) is that a crowdfunding service provider may no longer provide payment services directly. In response, Capital Circle has entered into a partnership with Online Payment Platform (OPP), which holds the required PSD2 licence to provide regulated payment services.
Since June 2023, all iDEAL payments have already been processed via OPP. Starting 1 January 2024, manual payments must also be made to OPP’s third-party funds account. The necessary details can be found in the new dashboard within your account.
From 1 January 2024, all newly published projects will also have their monthly direct debits from entrepreneurs and payouts to investors processed via OPP. As a result of these regulatory changes, Capital Circle is legally required to identify and verify all investors and entrepreneurs, in line with the obligations under the Dutch Anti-Money Laundering and Anti-Terrorist Financing Act (Wwft) and Sanctions Act (SW).
Updated Framework Agreement and Terms & Conditions
The revised Framework Agreement forms the legal basis between the Investor on the one hand, and Capital Circle and the KOM Group Security Trustee Foundation on the other. This agreement outlines the main, ongoing terms related to the investor, their subscriptions, and loan agreements.
Under the Framework Agreement, the KOM Group Security Trustee Foundation has a permanent and undisputed mandate to act on behalf of investors, allowing it to respond promptly and effectively when required.
Based on the power of attorney, the Foundation may update the registration of securities at any time, without requiring additional documentation from the entrepreneur.
As of 1 January 2024:
- The Joint General Terms and Conditions have been updated to reflect compliance with the European Crowdfunding Regulation.
➤ You can view the current version here: Joint General Terms and Conditions KOM Group (December 2023) - The Framework Agreement has also been revised in line with the same regulation.
➤ You can view and accept the current version here: Framework Agreement (December 2023) - New tariffs for investors will apply.
➤ [Click here to view investor tariffs] - New tariffs for entrepreneurs will apply.
➤ [Click here to view entrepreneur tariffs]
➤ You can also preview the standard loan agreement template [here].