The EU’s anti-money laundering bill has passed a final vote. Here’s what’s next for cryptocurrency service providers:
The European Parliament has adopted new rules formally imposing due diligence requirements on cryptocurrency companies to prevent money laundering.
The European Parliament voted on Wednesday to adopt a bill that would partially strengthen it.We carry out ‘due diligence measures and verification of the identity of our customers, including the so-called cryptocurrency asset managers’. They are also required to report any suspicious activity to authorities.
According to The Block previously, the new law will affect numerous entities, including cryptocurrency asset service providers (CASPs), such as centralized cryptocurrency exchanges, as well as gambling services. report.
Patrick Hansen, Circle’s EU strategy and policy director, said the vote was expected. post At X.
“The package will now also be formally adopted by the EU Council and will come into effect in three years,” Hansen said.
rumor
Hansen last month exposed It has been rumored that the new law will ban anonymous cryptocurrency wallets and self-managed payments. The new law will apply to CASPs already regulated under the Markets in Cryptoassets Regulation (MiCA), Hansen said. mica Is regulatory framework It is a European Union proposal to govern digital assets and their markets, which is scheduled to come into effect in June 2023 and be fully implemented by the end of the year.
“These CASPs must follow standard KYC/AML procedures such as customer due diligence (CDD),” Hansen said. post. “This is not new, as all cryptocurrency exchanges and custody wallet providers in the EU are already currently subject to these obligations under AMLD5.”
Overall, the final version is a “great result” for the cryptocurrency industry, Hansen said.
“Previous versions of the proposed AMLR proposed a more stringent approach, implying KYC for self-managed rights senders/recipients, but thanks to industry efforts, a risk-based approach with a range of options has finally been agreed upon,” Hansen said. said.
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