What Is AMLD5?
The 5th Anti-Money Laundering Directive (AMLD5) is a regulatory update to the European Union’s Anti-Money Laundering (AML) framework.
Challenges in Implementation and Compliance
An EU directive is a legal framework that sets a common objective for all member states, which they must incorporate into their own laws.
While directives are not legally binding, failure to comply with them may result in fines.
Despite the deadline having passed, some member states have faced challenges in meeting the requirements of AMLD5 due to its complex regulatory nature.
AMLD5 introduces new obligations and requirements in cryptocurrencies, Ultimate Beneficial Owner (UBO) registers, and prepaid card transaction limits.
AMLD5 covers various aspects, including obligations for fiat-to-cryptocurrency companies and custodian wallet service providers.