Italy Lays Out Crypto Companies’ New AML Requirements

Italy lays out crypto companies’ new AML requirements as well as registration and reporting for virtual asset service providers so let’s read further in today’s cryptocurrency news.

Italy published a new AML rule for crypto companies as per the reports issued recently. The rules were approved in January but online registration and reporting requirements were clear at the start for virtual asset service providers which align with the EU’s fifth AML directive and the Financial Action Task Force guidelines. The publication in Italy’s formal journal records shows the rules are ready to take effect.

The document specified what is required of VASPS to be registered in a special roster for crypto companies and accoridng to the document, the registration in the roster maintained by is required it eh crypto companies are to offer any digital asset-related services in the country. As Italy lays out news rules, they were published right as the EU lawmakers are getting ready to start discussions on the proposed regulatory package for the crypto assets. The markets in the crypto assets package seek to set EU-level standards and requirements for crypto issuers and service providers as well as users.

Most notably, it is looking to set up a passport-able license for the crypto companies that will allow companies to operate in all EU member states if they are fully registered and compliant in one EU jurisdiction. However, the new rules include a requirement that doesn’t align with the EU ambitions for a passport-able license for VASPS. In order to qualify for registration in the roster for approved VASPS in Italy, all entities have to comply with Article 17-bis of 2008 directive that is related to the credit contracts. As per the Article, any vASP from another Eu country will have a permanent establishment or stable organization in Italy to be able to register as a VASP. A report on the new rules by Lexia Avvocati said:

“Accordingly, VASPs that are incorporated in other EU member states will have to set up an Italian branch or subsidiary in order to operate with Italian customers. VASPs established in third countries will have to incorporate an Italian subsidiary.”

In addition to the registration requirements, the document said that VASPS have to report all information required under the AML regulations to the Organismo Agenti e Mediator at the end of each quarter and the VASP registry will be set up in 90 days of the publication of the document.