MONACO TIGHTENS GRIP ON CRYPTOCURRENCY WITH NEW ANTI-MONEY LAUNDERING REGULATIONS

On July 7, 2022, the Principality of Monaco took a significant step towards regulating its cryptocurrency market by enacting Law 1.528. This new legislation brings clarity to the country’s regulatory framework for services related to crypto assets, setting out clear guidelines and requirements for operators in the sector.

Regulated Services

Under the new law, certain activities involving virtual assets are classified as regulated services that require a prior licence from the authorities. These include:

• Exchange of virtual assets against other virtual assets
• Operation of negotiation platforms for virtual assets
• And more…

Licensing Requirements

To obtain a licence, applicants must meet strict criteria set by the Ministry of State and a dedicated Commission. These requirements include:

• Being a Monaco-registered entity
• Demonstrating the appropriate skills and honorability of management and shareholders
• Compliance with Monaco’s anti-money laundering (AML) obligations
• Ensuring adequate computing equipment security and back-up

Goals of the New Regulations

The new regulations aim to prevent illegal activities such as money laundering and terrorist financing in the cryptocurrency sector. They also provide a level playing field for legitimate operators, promoting transparency and stability in the market.

Expertise Available

Local law firm [Firm Name] is well-places to advise clients on the implications of these new regulations and assist with licence applications. With expertise in both financial and sports/advertising sectors, the firm is ideally positioned to help businesses navigate the complexities of Monaco’s cryptocurrency landscape.