The deadline is rapidly approaching. 5AMLD — the Fifth Anti-Money Laundering Directive — is a piece of legislation that brings fiat-to-crypto exchanges and custodial wallets across the European Union under a new first-of-its-kind regulatory framework. Exchanges must achieve compliance with the rules by January 10, 2020. Time is ticking away, causing some exchanges to scramble, while others stand ready to roll out compliance procedures. David Carlisle knows a thing or two about crypto and regulations. As former United States Treasury Anti-Money Laundering (AML) specialist and the current Head of Community at the blockchain analytics provider Elliptic, Carlisle has inside knowledge …

Fidelity Investments’ cryptocurrency branch Fidelity Digital Assets is expanding to the United Kingdom. “We plan to provide our services to European institutional investors through our U.K.-registered entity, Fidelity Digital Assets, Ltd,” a Fidelity Digital Assets representative told Cointelegraph on Dec. 17, saying: “We recognize that the regulatory requirements for service providers in the digital assets space is evolving, and we intend to comply with all applicable requirements in the U.K. and elsewhere as we continue to globally expand our services to the institutional investment community.” The move into the U.K. will provide European businesses, such as hedge funds, the opportunity …

Recent research by the European Central Bank (ECB) claims that it is possible to develop a central bank digital currency (CBDC) payment system that protects user privacy. Per the report dubbed “Exploring anonymity in central bank digital currencies,” the European System of Central Banks (ESCB) established a proof-of-concept (PoC) for anonymity in CBDCs, which came as part of its ongoing research of CBDCs and their potential benefits to the public. The dedicated PoC was developed in collaboration with tech companies R3 and Accenture. Corda-based PoC The ESCB used R3’s open-source blockchain platform Corda to develop a PoC featuring four parties …

After BottlePay’s shutdown announcement last week, two more European cryptocurrency firms have shut down because of the upcoming Anti-Money Laundering (AML) rules in the European Union. Online crypto gaming platform ChopCoin and mining pool Simplecoin both announced that they are shutting down in under a month in a notice on their website. Both firms cite the EU’s upcoming Anti-Money Laundering Directive that would require the firms to adopt Know Your Client (KYC) measures as the reason for shutting down. Stringent reporting requirements Simplecoin explains that the EU’s proposed directive will subject its service to a wide range of AML and …

The Bottle Pay service, which allowed users to send Bitcoin (BTC) via social media accounts, announced on Dec. 13 that it would be shutting down due to Anti-Money Laundering (AML) regulations. Funds will remain available for withdrawal until 13:00 GMT on Dec. 31, 2019. New user data collection would negatively impact user experience Bottle Pay, developed by United Kingdom-based company Block Matrix, enabled Bitcoin payments to any social media contact regardless of whether they had an account or not. Just two months ago, the company raised $2 million in funding, with the aim of increasing the user-base tenfold over the …

The government of cryptocurrency-friendly Switzerland has shot down the idea of issuing a digital Swiss franc, for now. According to a Dec. 13 press release published on the Federal Council’s website, the Federal Council approved a report exploring the opportunities and risks of issuing a digital form of the country’s national currency, the franc. Following an analysis, the Federal Council concluded that a central bank digital currency (CBDC) cannot meet expectations for payment efficiency, effective monetary policy, and a more stable financial system. The council said: “Universally accessible central bank digital currency would bring no additional benefits for Switzerland at …

The president of the European Central Bank (ECB), Christine Lagarde, said that the financial institution should be ahead of the curve regarding the demand for stablecoins. According to a tweet by the ECB on Dec. 12, Lagarde said: “My personal conviction on the issue of stable coins is that we better be ahead of the curve. There is clearly demand out there that we have to respond to.” Stablecoins are digital currencies pegged to a physical asset or fiat currency and designed to minimize price volatility. Focus on prompt adaption to fintech innovations In early September, when Lagarde was still …

Amsterdam-based bank ING is reportedly developing cryptocurrency custody technology, Reuters reported on Dec. 12. The digital assets custody service being developed by ING is purportedly part of one of the bank’s several blockchain-related initiatives and is still at an early stage of development. ING reportedly said that it “sees increasing opportunities with regard to digital assets on both asset backed and native security tokens.” When reached for comment, ING did not provide specific details about the project, but said that it is, “particularly active to further develop the technology behind digital assets to empower its clients with a compliant access …

Berlin-based fintech company solarisBank has established a subsidiary to provide a custody solution for digital assets. Per a Dec. 11 announcement, solarisBank’s newly established subsidiary, solaris Digital Assets GmbH, will provide clients with an application programming interface (API)-accessible platform, which gives access to the full range of solarisBank’s digital white-label banking services. No need to apply for a license The announcement further reads that solaris Digital Assets will operate in compliance with the regulatory requirements of the German market, as well as ensure storage of digital assets that is compliant. This, according to the company, will release clients from the …

Denmark-based cryptocurrency users have begun receiving letters from the Danish tax agency, Skattestyrelsen, requesting that traders provide a full background of all their cryptocurrency transactions, sources informed Cointelegraph on Dec. 10. In its letters, Skattestyrelsen specifically asked crypto users to provide information about profits and losses for fiscal years 2016 to 2018, according to FIFO (First In First Out) principles. These principles represent a method of inventory valuation assuming that all goods are sold or used in the same chronological order in which consumers purchased them. Furthermore, the tax agency asked for the rates used for each transaction, information on …

Tokyo-based cryptocurrency exchange bitFlyer announced the launch of ‘Instant Buy’ on its European exchange platform. BitFlyer launched its latest feature Instant Buy on Dec. 5 to provide its European users with the ability to buy cryptocurrency using a credit card, debit card and local instant transfer methods like Sofort, iDeal and GiroPay. The newly launched feature, which is available on desktop computers and smartphones, aims to make it more convenient for users to buy crypto using their preferred payment method. It also looks to provide a new avenue for crypto beginners who want an all-in-one solution to purchase, store and …

No global stablecoin project will begin operation in the European Union (EU) until the associated risks to monetary sovereignty are addressed, according to EU authorities. In a joint statement adopted by the Council of the European Union and the European Commission (EC), the Council and the Commission admitted that stablecoins may be effective at providing cheap and fast payments, but they have far more risks and challenges. The statement was approved by the Economic and Financial Affairs Council (ECOFIN), one of the oldest configurations of the Council, on Dec. 5, based on the data in an official document released in …