North European country, Finland, is finalising plans to enforce its regulation for the cryptocurrency industry which the nation’s parliament approved on March 13.
In an April 26 press release by the Finland Financial Supervisory Authority (FIN-FSA), the new regulators revealed what to expect as the new rules go live on May 1.
Overview of Finland’s Crypto Rules
It is essential to point out that the new regulations which Finland is rolling out for the cryptocurrency industry are in line with the European Union (EU)’s Fifth Anti-Money Laundering (AML) Directive already introduced in France and the Netherlands.
Under the new rules, the Finland Financial Supervisory Authority (FIN-FSA) will become the regulatory boarding overseeing the activity of crypto-related businesses in the country.
Crypto businesses, including but not limited to exchanges, wallet providers and cryptocurrency issuers must register with FIN-FSA if they wish to operate in the country.
Among other things, projects must satisfy requirements such as safe custody solution for client assets, segregation of company funds from investor funds and AML compliance before they can obtain a license from FIN-FSA
Those who fail to comply with the regulator’s directive will have to pay a fine or cease operations before November 2019 when enforcement actions will begin.
Aside from enacting the new rules, FIN-FSA has also made the bold move of inviting crypto industry participants to attend an event where they can get to know more of what is expected of them. As per the release, the meeting will hold on May 15 and should set the tone for a close relationship between the regulators and the cryptocurrency industry.
Meanwhile, rolling out the new rules adds Finland to a growing list of countries to enact some regulation for the cryptocurrency space since the start of 2019. The other countries include Mauritius, the Philippines, Russia and Lithuania.