EU Parliament Approves AML Regulation

The EU Parliament has introduced a new rule to combat money laundering and terrorist financing.

In an effort to prevent the violation of anti-money laundering (AML) legislation and terrorist financing occurrences, the EU Parliament has enacted a new rule.

EU Parliament Sets U Agency to Monitor AML Regulation

The Authority for Anti-Money Laundering and Countering the Financing of Terrorism (AMLA), a newly designated agency, will oversee and supervise the implementation of the new rule.

There will be a location in Frankfurt for the AMLA office. The law has not yet appeared in the EU Office Journal due to the Council’s lack of legal acceptance.

The EU Parliament has said that the authorities will provide instant, unfiltered direct, and free information regarding beneficial ownership to individuals and organizations who have a legal interest in the matter.

The authorities will maintain this information in national registries and network it across the EU. Journalists, media professionals, civil society organizations, competent authorities and supervisory bodies are all examples of professionals who fit this category.

In the meantime, these registries intend to improve their database so that it has information dating back as long as five years.

Some media outlets had previously stated that the European Union had implemented a prohibition on cryptocurrency transactions that were carried out through non-custodial wallets that had not been validated approximately one month ago, which should be taken into consideration.

Reports during that period primarily linked the move to the recently passed new anti-money laundering package by members of the EU Parliament.

Cryptocurrency fans, who were concerned about the impact that the restriction would have on the market, expressed their outrage in response to the news.

However, the European Union’s most recent statement offers a more concise overview of the situation.The new anti-money laundering law grants Financial Intelligence Units (FIUs) the authority to conduct investigative work and identify instances of money laundering or terrorist funding.

The legislation also authorizes them to halt any transaction that may be considered suspicious.As part of the anti-money laundering law, it is required to perform extensive due diligence and stringent procedures in order to authenticate the consumer’s identity.

It is required that any suspicious activity discovered by “obliged” businesses such as banks, crypto asset managers, and other entities be reported to the Financial Intelligence Units (FIUs) or any other authorized entity during this process.

However, the new rule will only apply to specific groups of clients. This restriction will remain in place.As an illustration, it is quite probable that the new anti-money laundering regulation will not have an impact on top-tier football clubs until the year 2029.

These clubs typically participate in high-value financial transactions with investors or sponsors. Verifying their clients, monitoring their transactions, and reporting any suspicious transactions to the Financial Intelligence Units (FIUs) would be necessary for all transactions, including those involving advertisers and player distribution.