The Proposed Legislative Package on anti-money laundering and countering the financing of terrorism (AML/CTF) was adopted on 28 March by Committees of the European Parliament and contains three pieces of draft legislation synthesised hereunder.
The EU "single rulebook" regulation lays down rules concerning:
Measures to be applied by obliged entities including crypto-asset service providers (CASPs) (i.e. outsourcing; internal policies, procedures and controls; business-wide risk assessment; compliance functions, awareness of the requirements, integrity of employees; internal reporting…).
Beneficial ownership transparency requirements (i.e. customers due diligence; identification and verification of the customer’s and beneficial owner's identity; timing of the verification of the customer and beneficial owner identity; identification of the purpose and intended nature of a business relationship or occasional transaction…).
Reporting obligations (e.g. suspicious transactions, reporting of suspicious transactions by certain categories of obliged entities)
Data protection and record-retention provisions (e.g. processing of personal data: transparency and disclosure (including related to data sharing), data quality/accuracy, data protection, …).
Measures to limit the misuse of anonymous instruments including the prohibition for financial institutions as well CASPs to keep anonymous accounts, anonymous passbooks, anonymous safe-deposit boxes, anonymity-enhancing coins or anonymous crypto-asset wallets as well as any account otherwise allowing for the anonymisation of the customer account holder.
Limits to large cash payments of EUR 10 000 in national or foreign currency, whether the transaction is carried out in a single operation or in several operations which appear to be linked.
The 6th AML Directive
Will provide provisions on supervision and Financial Intelligence Units, as well as on access for competent authorities to necessary and reliable information (e.g. beneficial ownership registers and assets stored in free zones).
The Regulation establishing the European Anti-Money Laundering Authority (“AMLA”)
AMLA will have supervisory and investigative powers to ensure compliance with AML/CFT requirements.
The proposed regime has yet to be voted on in Plenary at the European Parliament.