Cryptocurrency-related businesses operating within the Czech Republic are reportedly going to be required to register with country’s regulator, or face a fine of over $500,000.
According to local newspaper Hospodářské Noviny, as first reported by The Next Web, the Czech Republic is adoption the European Union’s 5th Anti-Money Laundering Directive (5AMLD) while establishing additional requirements for cryptocurrency businesses.
The move, according to the paper, will impose upon cryptocurrency-related companies a requirement to register with the country’s Trade Licensing Office, or face a fine that can go up to $560,000 (€500,000).
As the news outlet notes the 5AMLD came into force last summer, and saw the EU introduce measures on cryptocurrencies similar to those that had already been introduced by the United States. While EU regulators initially tried a “wait and see approach,” TNW reports regulators strengthened controls after the 2015 Paris attacks.
The directive, the news outlet reports, tries to make it easier to find out relevant information on those behind businesses operating within the European Union. The Union’s member states are to incorporate it into their legislations until January 20 of next year.
Central Bank Cryptocurrencies Could Solve Competition Issues EU Says https://t.co/gxLtBaLCTw #EuropeanParliament #EU #Cryptocurrencies #CentralBanks #PBOC #People'SBankOfChina #Facebook #Libra #Fintech
— CryptoGlobe (@CryptoGlobeInfo) July 23, 2019
As CryptoGlobe recently covered Britain’s tax regulator, HM Revenue & Customs, has recently started pressuring cryptocurrency exchanges to start revealing transaction data related to their customers.
The European Central Bank (ECB) said this Wednesday it’s looking to overhaul its monitoring of cryptocurrency trading activity by improving its on- and off-chain surveillance. Per the ECB while the risks cryptos pose to issues such as financial stability and consumer safety are easily identifiable, there are gaps in the data that’s currently available to determine how much of a risk they pose.