> For the complete documentation index, see [llms.txt](https://www.mica.wtf/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://www.mica.wtf/mica/title-iii-asset-referenced-tokens-art.-16-47/chapter-3/article-39.md). # Article 39 | | | | --------------- | ------------------------------------------------------------------------------- | | **Instrument** | Regulation (EU) 2023/1114 (MiCA) | | **Source** | [EUR-Lex](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32023R1114) | | **Status** | In force | | **Review rule** | Legal-text changes require human review | ### Right of redemption 1. Holders of [asset-referenced tokens](https://www.mica.wtf/definitions/definitions/mica/asset-referenced-token) shall have a right of redemption at all times against the [issuers](https://www.mica.wtf/definitions/definitions/mica/issuer) of the asset-referenced tokens, and in respect of the reserve assets when issuers are not able to meet their obligations as referred to in Chapter 6 of this Title. Issuers shall establish, maintain and implement clear and detailed policies and procedures in respect of such permanent right of redemption. 2. Upon request by a holder of an [asset-referenced token](https://www.mica.wtf/definitions/definitions/mica/asset-referenced-token), an [issuer](https://www.mica.wtf/definitions/definitions/mica/issuer) of such token shall redeem either by paying an amount in [funds](https://www.mica.wtf/definitions/definitions/mica/funds), other than [electronic money](https://www.mica.wtf/definitions/definitions/mica/electronic-money), equivalent to the market value of the assets referenced by the asset-referenced token held or by delivering the assets referenced by the token. Issuers shall establish a policy on such permanent right of redemption setting out: 1. the conditions, including thresholds, periods and timeframes, for holders of asset-referenced tokens to exercise such right of redemption; 2. the mechanisms and procedures to ensure the redemption of the asset-referenced tokens, including in stressed market circumstances, as well as in the context of the implementation of the recovery plan set out in [Article 46](/mica/title-iii-asset-referenced-tokens-art.-16-47/chapter-6/article-46.md) or, in the case of an orderly redemption of asset-referenced tokens, under [Article 47](/mica/title-iii-asset-referenced-tokens-art.-16-47/chapter-6/article-47.md); 3. the valuation, or the principles of valuation, of the asset-referenced tokens and of the reserve assets when the right of redemption is exercised by the holder of asset-referenced tokens, including by using the valuation methodology set out in [Article 36](/mica/title-iii-asset-referenced-tokens-art.-16-47/chapter-3/article-36.md)(11); 4. the conditions for settlement of the redemption; and 5. measures that the issuers take to adequately manage increases or decreases in the [reserve of assets](https://www.mica.wtf/definitions/definitions/mica/reserve-of-assets) in order to avoid any adverse impacts on the market of the reserve assets. Where issuers, when selling an [asset-referenced token](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/asset-referenced-token.md), accept a payment in [funds](https://www.mica.wtf/definitions/definitions/mica/funds) other than [electronic money](https://www.mica.wtf/definitions/definitions/mica/electronic-money), denominated in an [official currency](https://www.mica.wtf/definitions/definitions/mica/official-currency), they shall always provide an option to redeem the token in funds other than electronic money, denominated in the same official currency. 3. Without prejudice to [Article 46](/mica/title-iii-asset-referenced-tokens-art.-16-47/chapter-6/article-46.md), the redemption of asset-referenced tokens shall not be subject to a fee. *** **Level 2 instruments** * [2025/413 — ART Qualifying Holdings Info](/eu-level/technical-standards/rts/rts-on-information-for-assessment-of-a-proposed-acquisition-of-qualifying-holdings-in-issuers-of-art.md) — RTS ### Related * [asset-referenced token](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/asset-referenced-token.md) — definition used in this article * [official currency](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/official-currency.md) — definition used in this article * [reserve of assets](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/reserve-of-assets.md) — definition used in this article * [electronic money](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/emd2/electronic-money.md) — definition used in this article * [electronic money](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/electronic-money.md) — definition used in this article * [issuer](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/issuer.md) — definition used in this article * [funds](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/mica/funds.md) — definition used in this article * [funds](https://github.com/jakesenfti/micawtf/blob/main/spaces/definitions/psd2/funds.md) — definition used in this article --- # Agent Instructions This documentation is published with GitBook. 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