Banca d’Italia Enforces Stringent Crypto Screening to Block Sanctions Evasion
- Banca d’Italia mandates all payment services and crypto asset service providers to screen every transaction.
- The bank prohibits minimum screening thresholds to prevent fund splitting by criminals.
- New rules prioritize blocking Russian actors, accepting potential transfer delays.
- Compliance checks are required at the start of customer relationships and for each transaction.
- Automated systems must balance false positives with identifying sanctioned individuals.
The European Union is tightening compliance measures on digital assets to prevent sanctions evasion, particularly targeting Russian actors amid heightened geopolitical tensions. Banca d’Italia’s directive emphasizes thorough transaction screening without minimum thresholds to block illicit activities effectively.
This initiative underscores the EU’s commitment to closing regulatory gaps in decentralized finance systems, ensuring that financial transactions comply with international sanctions frameworks.(Source)
