According to Odaily, the European Banking Authority (EBA) has announced plans to strengthen anti-money laundering (AML) measures. From December 30, these guidelines will be extended to cryptocurrency service providers and intermediary institutions. This move implies that Cryptocurrency Asset Service Providers (CASP) will be subject to the European Union's anti-money laundering and counter-terrorism financing (AML/CFT) regulations.
In addition to this, crypto service providers and intermediary institutions will be required to declare their multi-intermediary and cross-border transfer policies. This move by the EBA is a significant step towards ensuring the transparency and security of transactions involving cryptocurrencies. It also highlights the increasing recognition of cryptocurrencies and their integration into mainstream financial systems.
The extension of AML measures to CASPs and intermediary institutions is expected to bring about a significant change in the way these entities operate. They will now be held to the same standards as traditional financial institutions, which could lead to increased trust and credibility in the crypto sector. However, it also means that these entities will need to invest in systems and processes to ensure compliance with these regulations.