European Union (EU) leaders are working to set up strict oversight of crypto firms to combat money laundering and terrorism financing, according to a Bloomberg report.
- A group of EU member states is seeking to give the bloc's new anti-money laundering (AML) watchdog oversight into cryptocurrency firms, according to the report, published Tuesday.
- The group is led by Germany and includes Spain, Austria and Italy, Bloomberg said, citing an unidentified EU diplomat. "They want the EU watchdog’s remit to cover the riskiest cross-border entities among banks, financial institutions and crypto assets service providers," the diplomat said.
- The establishment of an AML authority was proposed by the European Commission, the EU's executive arm responsible for proposing legislation, in July 2021. The authority's mandate is the direct and indirect AML supervision across the bloc's 27 member states.
- The proposal does not go into detail when it comes to virtual assets.
- The Commission expects the AML authority to be operational in 2024.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish group, owner of Bullish, a regulated, institutional digital assets exchange. Bullish group is majority owned by Block.one; both groups have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.