As per reports by The Irish Times, Even the Cabinet, the executive part of the authorities of Ireland, has approved a bill that could contribute to the European Union (EU) Fifth Anti-Money Laundering (AML) Directive.
The directive that came to force on July 9, 2018, places a new legal framework for European fiscal watchdogs to control digital currencies so as to safeguard against money laundering and terrorism funding.
In particular, the directive will expand the range to crypto platforms and pocket suppliers, finish the anonymity of savings and bank accounts, and enhance information exchange among governments. EU member nations need to incorporate the directive in their respective national laws by Jan. 20, 2020.
Along with understanding the EU directive, the Criminal Justice (Money Laundering and Terrorist Financing) (Amendment) Bill 2019 would toughen present laws, for example, use of virtual monies for terrorist funding and restricting using prepaid cards.
Minister of Justice Charlie Flanagan stated:
“The reality is that money laundering is a crime that helps serious criminals and terrorists to function, destroying lives in the process… Criminals seek to exploit the EU’s open borders and EU-wide measures are vital for that reason. Ireland strongly supports the provisions in the fifth EU money laundering directive. ‘’
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If the bill passes, financial institutions will be asked to perform stricter due diligence with regard to new customers and could be banned from opening anonymous secure deposit boxes. Furthermore, the bill will allegedly allow the Garda and the Criminal Assets Bureau to get lender records from the plan of money laundering investigations.
Last month, the European Union Blockchain Observatory and Forum created a case for electronic versions of foreign monies on a blockchain, saying:
“Putting digital versions of national currencies on the blockchain means they could then become integral parts of smart contracts. That would unlock much of the potential innovation of blockchain by allowing parties to create automated agreements, including direct transactions in these currencies, instead of having to use a cryptocurrency as a proxy.”
Also in December, crypto-friendly fintech startup Revolut acquired an EU banking permit through the Bank of Lithuania. Revolut’s users at the United Kingdom, France, Germany, and Poland are predicted to acquire a”true present account along with also a non-prepaid debit card” Furthermore, consumers’ deposits are also insured up to $100,000 (roughly $113,500) underneath the European Deposit Insurance Scheme.