GLOSSARY · BLOCKCHAIN & WEB3
ERIR (Entity Responsible for the Registration and Recording)
Spain's Law 6/2023 requires an ERIR to register tokenized securities on DLT. See who may act as one, what it answers for and why the CNMV supervises it.
WHAT IS IT? · FOR DUMMIES
The ERIR is the body that keeps the official record of who owns each security (shares, bonds, units) when that security is issued on a blockchain. It works like a traditional securities registry, but on distributed ledger technology: it records who holds what and gives that entry legal effect. Without a designated ERIR, you cannot issue tokenized securities with legal backing in Spain.
WHAT IS IT? · PRO
The ERIR (Entity Responsible for the Registration and Recording) is the figure created by Spain's Securities Markets and Investment Services Act (Law 6/2023, LMVSI) to handle the registration and recording of transferable securities represented through distributed ledger technology (DLT), such as blockchain. It is the digital equivalent of the entity that keeps the book-entry records of traditional securities (Law 6/2023 LMVSI, BOE-A-2023-7053).
It is designated in the issuance document of the securities. The ERIR is liable to anyone harmed by a failure to register, by inaccuracies or delays in the record and, in general, by any breach of its obligations.
For primary-market issuance, the ERIR must be an entity authorized to provide custody of financial instruments in Spain: a credit institution, an investment firm (sociedad de valores) or a broker-dealer (agencia de valores). Its activity is supervised by the CNMV. The first ERIR authorized in Spain was Ursus-3 Capital, on 22 November 2024.
The ERIR should not be confused with an identity or KYC service: its function is registral. Nor is it governed by MiCA, because transferable securities are financial instruments and fall under MiFID II and the LMVSI (MiCA Regulation (EU) 2023/1114, Art. 2(4)). The trading infrastructure for these securities may, in addition, operate under the DLT Pilot Regime (Regulation (EU) 2022/858).
01 / Key points
- Registers and records transferable securities (shares, bonds, units) represented through DLT/blockchain.
- A figure created by Law 6/2023 (LMVSI); designated in the issuance document.
- In the primary market it must be an entity authorized to provide custody of financial instruments: a credit institution, an investment firm or a broker-dealer.
- Liable for failure to register and for inaccuracies or delays in the record.
- Supervised by the CNMV. The first authorized ERIR was Ursus-3 Capital (22 November 2024).
- It is not an identity/KYC service and is not governed by MiCA (securities fall under MiFID II and the LMVSI).
02 / Advantages
- Allows an issue of transferable securities to be represented using DLT in compliance with the registry regime of the LMVSI.
- Replaces the traditional book-entry record with a DLT-based registry that offers the same guarantees.
- Has clearly defined legal liability for failures, inaccuracies or delays in the record.
- Enables the issuance of security tokens with regulatory backing in Spain.
03 / Disadvantages
- Requires the involvement of a regulated entity authorized to provide custody of financial instruments.
- It is a recent figure, with still few operators authorized by the CNMV.
- Subject to CNMV supervision and to demanding technical requirements.
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