Where -

(a) securities (including rights in securities) are provided as collateral security to a participant, or a system operator, in each case in a system designated for the purposes of these Regulations or designated in Gibraltar, or a central bank (including any nominee, agent or third party acting on behalf of the participant, the system operator or the central bank), and

(b) a register, account or centralised deposit system legally records the entitlement of that person to the collateral security,

the rights of that person as a holder of collateral security in relation to those securities are governed by the domestic law of the country or territory or, where appropriate, the law of the part of the country or territory, where the register, account, or centralised deposit system is maintained.