Mauritius has a comprehensive, live regulatory framework under the Virtual Asset and Initial Token Offering Services Act (VAITOS Act) 2021, which came into force February 7, 2022. All stablecoin issuers must register as ITO issuers with the FSC. The framework focuses on asset-linked stablecoins backed by fiat, commodities, or virtual assets. Issuers must maintain minimum capital (MUR 5 million or 50% of annual operating expenses), hold liquid assets for orderly winding-up, maintain 1:1 reserves with quarterly audits, implement robust risk management, and provide daily reserve disclosures and weekly composition reporting. Fully algorithmic stablecoins are discouraged. All regulatory requirements align with FATF international standards.
