Argentina Cracked Down On Crypto With New AML Rules

Argentina cracked down on crypto and blockchain technology with new AML rules as we can see further in our latest cryptocurrency news.

Argentina Is set to include crypto companies in their AML laundering regulations. Argentina cracked down on crypto and it involved crypto companies in its wider anti-money laundering regime. Argentina’s Unidad de Informacion Financiera is the country’s competent authority when it came to regulating the money laundering risks and it is now working on adding crypto companies to the list of entities that are subject to AML reporting requirements. According to someone with knowledge on the matter, the plan for the new regulations to come into force this year.

If the regulations are passed, it will change the way crypto companies interact with regulators in Argentina and the companies are only tasked with complying with 2019 tax reporting regulations. This is not the first time an authority oversees the AML risks and took aim at crypto companies. In the UK, the FCA made the same move during March 2021. Since then, the crypto businesses as defined by the FCA needed to file an annual financial crime return whcih document and number of suspicious activity reports, generated in the reporting period. The FCA said:

“This policy statement proposes that additional firms and crypto-asset businesses should be brought into the scope of the return based on their business activities and the potential money laundering risks.”

The US and the EU also took some bigger regulatory swings at crypto. President Biden signed the crypto Executive ORder on Ensuring Responsible Development of Digital Assets and a part of the order aims to crack down on the illicit finance in the crypto industry. In the European Union, the lawmakers voted to approve the Markets in Crypto Assets Regulation package. The MiCA package aims to coordinate the EU’s approach to regulating the industry at large.

As recently reported, Argentina took steps in the past few months to regulate the entire crypto industry and the move came as the country tried to fight the capital flight. Argentina updated its regulatory framework to include more control on the financial operations related to crypto and as a result, Argentina’s tax authority, AFIP demanded monthly reports on the client data from crypto exchanges with the release of Form 8126.