UK Proposes Stricter AML Rules for Crypto Firms
- The UK Treasury released a draft to amend money laundering regulations, targeting crypto firms with stricter oversight.
- The change-in-control threshold for crypto firms will be reduced from 25% to 10%, requiring notification to the Financial Conduct Authority (FCA).
- Public consultation on the draft is open until September, with final regulations expected in early 2026.
- A survey found that fraud accounts for over 43% of all crime in England and Wales, with crypto assets playing an increasing role.
- 12% of UK adults reportedly own crypto assets, highlighting the need for updated regulatory measures.
The UK’s proposed amendments aim to close existing loopholes and enhance anti-money laundering (AML) and counter-terrorist financing (CTF) measures, particularly within the growing crypto sector. These changes are part of a broader effort to mitigate financial crime risks associated with digital currencies.
Reducing the change-in-control threshold to align with other financial regulations reflects the UK’s commitment to tighter oversight of crypto firms amid rising fraud concerns. (Source)
