36. Application for a Licence to carry on Market Activities

(1) A Person may apply to the AFSA for a Licence authorising a Centre Participant to carry on one or more Market Activities.

(2) An Authorised Market Institution may apply to the AFSA to extend, vary or withdraw its Licence to carry on Market Activities.

(3) The applicant for a Licence, variation of a Licence or withdrawal of a Licence may withdraw its application by giving the AFSA notice at any time before the AFSA issues, varies or withdraws the Licence or rejects the application.

(4) An application under this section must be made in such manner as the AFSA may require.

37. Criteria for the grant of a Licence to carry on Market Activities

(1) The AFSA may only grant a Licence authorising a Centre Participant to carry on one or more Market Activities if it is satisfied that the Centre Participant:

• (a) has adequate and appropriate resources, including financial resources and technology resources;
• (b) is fit and proper;
• (c) is capable of being effectively supervised; and
• (d) has adequate compliance arrangements, including policies and procedures, that will enable it to comply with all the applicable legal requirements, including the Rules.

(2) The AFSA may make Rules prescribing the matters to which the AFSA will have regard in making the above assessment.

38. Grant or rejection of application

(1) The AFSA may:

• (a) grant an application under section 36, either without conditions, restrictions or requirements or with such conditions, restrictions or requirements as it considers appropriate; or
• (b) reject the application.

(2) Where the AFSA grants an application under section 36, the AFSA will notify the applicant of:

• (a) such decision;
• (b) the date on which the Licence will be deemed to take effect;
• (c) the Market Activity or Market Activities that the applicant is authorised to carry on; and
• (d) any conditions and restrictions applicable to the Licence.

(3) Where the AFSA rejects an application under section 36, the AFSA must promptly inform the applicant in writing of such rejection and, where requested by the applicant, the reasons for such rejection, and of the applicant’s right to appeal that decision to the AIFC Court .

(4) The AFSA may vary the terms of a Licence granted by it under this section, either on the application of the Authorised Market Institution or on its own initiative.

(5) If an applicant decides to appeal the AFSA’s decision to the AIFC Court, the time for instituting an appeal commences from the date when the rejection was given to an applicant.

39. Exemption for Authorised Market Institutions

(1)      An Authorised Investment Exchange is exempt from the General Prohibition in respect of any Regulated Activity:

1. (a)which is carried on as a part of the Authorised Investment Exchange's business as an investment exchange; or
2. (b)which is carried on for the purposes of, or in connection with, the provision by the Authorised Investment Exchange of services designed to facilitate the provision of clearing services by another Person.

(2)      An Authorised Clearing House is exempt from the General Prohibition in respect of any Regulated Activity:

1. (a)which is carried on for the purposes of, or in connection with, the provision of clearing services by the Authorised Clearing House; or
2. (b)which is carried on for the purposes of, or in connection with, the provision by the Authorised Clearing House of services designed to facilitate the provision of clearing services by another Person.

(3)      [intentionally omitted] 

1. (a) [intentionally omitted] 
2. (b) [intentionally omitted] 

(4)      Subject to AMI 7.2, an Authorised Crowdfunding Platform is exempt from the General Prohibition in respect of any Regulated Activity which is carried on as a part of the Authorised Crowdfunding Platform's business as a private crowdfunding platform.