• Estonia has seen a 80% decrease in the number of registered crypto firms after enacting a new law to prevent money laundering.
• The Money Laundering and Terrorist Financing Prevention Act, which came into effect on March 15th 2022, led to 200 voluntary withdrawals and 189 revocations due to non-compliance.
• Matis Mäeker, Director of the Financial Intelligence Unit believes that the legislature’s response and supervision activities have been relevant.

Estonia Crypto Regulations

Estonia is one of the most friendly countries for tech startups, including crypto firms. But it also faces a reputational risk due to money laundering scandals and crypto scams.

New Law Enacted

To protect against these issues, Estonia has enacted a new law known as The Money Laundering and Terrorist Financing Prevention Act. Amendments to this act took effect on March 15th 2022.

Notable Impact

Since then, 200 crypto firms in the country have voluntarily abandoned their authorizations while 189 were revoked due to non-compliance with requirements outlined in the amended act.

Relevant Response

Matis Mäeker, Director of the Financial Intelligence Unit stated that documents submitted by firms that lost their authorization show “that the legislator’s response with regard to the amendments to the Act, and the supervision activities both before and after the amendments, have been relevant.“

Moving Forward

< p > Moving forward , Estonia will need to continue their efforts in order to ensure compliance with regulations regarding money laundering or risk facing further reputational damage .

Von admin