The lack of a coherent regulatory framework in the European Union (EU) has resulted in uncertainty across the board and illicit cryptocurrency activity. In our latest infographic, we aim to bring some more clarity by detailing crypto regulations in selected EU countries.
To help establish a more transparent and safer environment for businesses to operate in the cryptocurrency space, some countries in Europe have developed comprehensive licensing schemes and detailed crypto regulations.
Countries such as Malta, Gibraltar and Lichtenstein have recognised that cryptocurrency business poses unique risks and oversight challenges.
These new stipulations require businesses to demonstrate that they are fit and proper prior to authorisation – this includes providing regulators with information to create assurances that they are able to comply, as well as being open to undergoing regular onsite visits and audits once licensed.
The Netherlands has also recently proposed a bespoke licensing regime for crypto businesses operating in their country, allowing regulators to reject applicants before they even gain access to the market.
However, keeping up with current laws and the authorisations or licenses required isn’t always easy. It’s time-consuming and frequently changes like the wind.
To give you a clearer idea, we’ve put together a very special infographic. It offers an extensive list of countries in the EU accompanied by the applicable laws, the field of activity, authorisation(s) and the mandated authority responsible.
The future of crypto regulation
For now, the stance these individual jurisdictions are taking could shape future blueprints across the whole of the EU.
In the meantime, to coin the quote from the UK Financial Conduct Authority,
The cryptoasset market, and the underlying DLT technology, is developing quickly and participants need to be clear on where they are conducting activities that fall within the scope of the FCA’s regulatory remit and for which they require authorisation.
In other words, you must take proactive steps and be prepared for the ever-changing landscape of the crypto market.
Hopefully, this infographic will give you a nice starting point about authorisations and be used as a platform to push your crypto business in the right direction.
Just continue to ask yourself:
- Do you fully understand all of the regulatory approaches being implemented in each country?
- Are you prepared to make adjustments in order to comply with every European jurisdiction where you operate?
- Does your business meet the high standards required to receive approval for the new licensing regimes?
- Do you offer crypto services which aren’t regulated now, but might be at a later date?
- Are you aware of current money laundering risks in each EU country and have you got the system in place to monitor and investigate it properly?
If the answer is yes, you’ll certainly be in a strong position to make a positive mark in the crypto space. However, if you’re unsure on any of the above, we highly recommend that you reach out to professionals like ourselves.
We’ll help guide you through all of the legal loopholes and capitalise on market opportunities to bring you long-term success. Simply get in touch here to find out more.
