New EU Guidelines for Anti-Money Laundering

Crypto News – On Tuesday, the financial authority of the European Union released guidelines for cryptocurrency companies to adhere to its anti-money laundering and anti-terror funding mandates.

New EU Guidelines for Anti-Money Laundering

The European Banking Authority (EBA) said in a news release that by expanding the purview of its current regulations to include cryptocurrency, it harmonizes the strategy that crypto asset service providers (CASP) throughout the EU should follow to combat financial crime.

The risks of this happening can be increased, for example, because of the speed of crypto-asset transfers or because some products contain features that hide the user’s identity. Therefore, it is important that CASPs know about these risks and put in place measures that effectively mitigate them,

the statement

EU Controlled Digital Transfers with MiCA Last Year

Along with its Markets in Crypto Assets (MiCA) legislative package, the EU last year completed laws governing the transfer of funds via digital assets. Since then, the Financial Action Task Force (FATF), a global watchdog, has recommended changes to the proposed guidelines to prevent the exploitation of cryptocurrency transactions. The EBA has produced guidelines on risk-based supervision of CASPs and is currently consulting on these changes.

Given the interdependence of the financial sector, the new Guidelines also include guidance addressed to other credit and financial institutions that have CASPs as their customers or which are exposed to crypto assets,

the EBA