Virtual currency providers act enters into force in May

The Act on virtual currency providers enters into force on 1 May,said the Financial Supervisory Authority (FIN-FSA)in a release.

In accordance with the Act, the Financial Supervisory Authority (FIN-FSA) will act as the registration authority and supervisory authority for virtual currency providers.

According to FIN-FSA, only virtual currency providers meeting statutory requirements are able to carry on their activities in Finland. Virtual currency providers which do not comply with statutory requirements will be prohibited from continuing their business activities, enforced by a conditional fine.

All EU member states must include services related to virtual currencies within the scope of AML/CFT legislation by 10 January 2020. The requirement is based on amendments of 30 May 2018 to the EU Anti-Money Laundering Directive, i.e. the Fifth Money Laundering Directive.

FIN-FSA will hold a briefing for virtual currency providers on 15 May.The event is primarily intended for virtual currency providers already operating in the market or planning to provide services.