There will be no more anonymous trading for cryptocurrency traders in Ireland as the country ushers in new regulations that would change the crypto landscape. Cryptocurrency firms now have to register with the central bank and institute anti-money laundering (AML) guidelines or close shop.
Ireland Toughens Crypto Regulation Standards
For the first time, cryptocurrency businesses in Ireland will have to comply with anti-money laundering (AML) and countering the financing of terrorism (CFT) guidelines. This new law brings crypto firms in the same bracket as traditional financial service providers. The anonymity involved in crypto transactions would be reduced as standard checks now have to be done. Irish crypto platforms are now required to complete due diligence on their customers and account for their funds' origin and destination. This new requirement goes into effect from April 2021, when the EU's 6th Anti-Money Laundering Directive is included in Irish laws. Some industry experts are welcoming of the idea. They believe such a move establishes Ireland as a regulated environment for crypto businesses. Josh Hogan, the co-chair of the FinTech & Payments Association of Ireland, explained in an op-ed,"Ireland has the opportunity to take advantage of its well-earned reputation in both finance and technology to position itself as the leading jurisdiction in which to establish an EU-regulated crypto-services business. This will ultimately bring real commercial benefits in terms of jobs, business revenues, and taxes."