Sumsub Compliance Digest—April 2024
Stay updated with the latest compliance news from the past month.
Each month, Sumsub's compliance team compiles a digest with the most recent developments in the realm of #AML and beyond. We cover a wide range of industries, from fintech to crypto.
AML?
EU ???? The EU adopted new AML rules
EU Parliament adopted the Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) package, which consists of the sixth Anti-Money Laundering (AML) directive, the EU “single rulebook” regulation, and the Anti-Money Laundering Authority (AMLA) regulation.?
The updated regulations introduce stricter measures for verifying customer identities and conducting due diligence checks. These apply to AML-obligated entities such as banks, asset managers, crypto asset managers, and real or virtual estate agents, who must report any suspicious activities to Financial Intelligence Units (FIUs) and other authorities.
Starting in 2029, top-tier professional football clubs engaged in significant financial transactions with investors, sponsors, advertisers, and player transfers must also verify their customers' identities, track transactions, and report any suspicious activities to FIUs. The new AML rules also include heightened vigilance requirements for ultra-high-net-worth individuals (with total wealth exceeding a certain threshold).
Who’s affected? AML-obliged entities operating in the EU.
EC calls on Ireland, France, and Latvia to correctly transpose the 5AMLD ????
What happened?
On April 24, the European Commission issued a statement of an infringement procedure in respect of Ireland, France and Latvia due to several instances of incorrect transposition (non-conformity) of the 4th and 5th AMLD into national law. The countries now have two months to respond and address the shortcomings raised by the Commission.?
Who’s affected? Lawmakers in Ireland, France, and Latvia
Deadline: June 2024
Read more: European Commission calls on Ireland to correctly transpose the 5th Anti-Money Laundering Directive
Gambling?
???? The Brazilian Ministry of Finance published a schedule to implement fixed-odds betting regulations?
The Ministry of Finance, via the Secretariat of Prizes and Bets, set forth the Regulatory Agenda for the present year by issuing Ordinance №561. According to the Agenda, the Secretariat is expected to issue frameworks for AML, online gambling, Responsible Gaming, etc. within three months.
Who’s affected: Fixed-odds betting providers operating in Brazil?
Deadline: The final phase of these regulatory updates is scheduled for July, 2024
???? Brazil issues rules for fixed-odds betting providers related to transactions?
The Brazilian Prizes and Bets Secretariat of the Ministry of Finance established general rules to be observed in payment transactions carried out by betting operators. Pursuant to the Ordinance, intermediaries in payment transactions that do not have authorization from the Central Bank of Brazil (BCB) are not allowed to be used for payments between bettors and betting agents. Additionally, betting operators are now prohibited from accepting financial contributions in the form of cash, credit cards, checks, or crypto assets.?
Who’s affected? Betting providers operating in Brazil
领英推荐
?? South Africa?introduces a remote gambling bill
A new bill aiming to regulate remote gambling in the country was introduced to the Parliament of South Africa. The bill aims to develop a licensing regime for remote gambling in South Africa and introduces player protection measures.??
Who’s affected? Platforms providing remote gambling
Read more: REMOTE GAMBLING BILL (B11-2024)
?? Sumsub launches its Advanced Transaction Monitoring Masterclass, free of charge
Our Advanced Transaction Monitoring Masterclass will commence on May 15th. With over 2500 AML, compliance, and anti-fraud professionals having successfully completed this certification-based course in the previous batch, we received fantastic feedback.
This comprehensive course features an open-access format, structured course content, and a focus on practical implementation, including live demos. It will equip you with practical insights, techniques, and strategies to effectively safeguard your transactions and achieve the highest AML standards.
And the best part? The course is absolutely free!
Mark your calendars for the start date: May 15, 2024.
Crypto?
Singapore????? MAS expands expands scope of regulated payment services related to digital assets
What happened? The Monetary Authority of Singapore (MAS) announced revisions to the Payment Services Act (PS Act) and its subsidiary legislation to broaden the range of payment services overseen by MAS and to enforce user protection and financial stability requirements on providers of digital payment tokens (DPTs). The following activities are now within the scope of regulation under the PS Act:
“(i) Provision of custodial services for DPTs;
(ii) Facilitation of the transmission of DPTs between accounts and facilitation of the exchange of DPTs, even where the service provider does not come into possession of the moneys or DPTs; and
(iii) Facilitation of cross-border money transfer between different countries, even where moneys are not accepted or received in Singapore.”
Deadline: Providers of digital payment tokens must notify MAS within 30 days and submit a licence application within six months of April 4, 2024
USA ???? The SEC has launched a consultation on a proposed rule change for trading options on Bitcoin exchange-traded products (ETPs).
What happened? The US Securities and Exchange Commission issued Release No. 34-100024, instituting proceedings to determine whether to approve or disapprove proposed rule changes to permit the listing and trading of options on trusts that hold bitcoin.?
Who’s affected? Exchanges listing and trading options on shares that represent interests in any trust that holds spot BTC in the USA
Deadline: Comments due 21 days after the date of publication in the Federal Register (May 15, 2024)
Thanks for the insights!