29 November 2023

EBA issues guidance to AML/CFT supervisors of CASPs

The new guidelines set clear expectations of the steps supervisors should take to identify and manage money laundering and terrorism financing (ML/TF) risks in this sector and are an important step forward in the EU’s fight against financial crime.

The European Banking Authority (EBA) today extended its risk-based anti-money laundering and countering the financing of terrorism (AML/CFT) supervision guidelines to AML/CFT supervisors of crypto-asset service providers (CASPs). 

CASPs can present high ML/TF risks. They also operate across borders. This is why a common supervisory approach to tackling ML/TF risks in that sector is important. By extending the scope of its AML/CFT Supervision Guidelines to supervisors of CASPs, the EBA fosters a common understanding, across all Member States, of the risk-based approach to the AML/CFT supervision of CASPs and how it should be applied.

Today’s amendments include guidance on the sources of information competent authorities should consider when assessing ML/TF risks associated with CASPs. They highlight the importance of a consistent approach in setting supervisory expectations, where multiple competent authorities are responsible for the supervision of the same institutions. They also emphasise the importance of training so that staff from competent authorities have the technical skills and expertise necessary to carry out their roles.

The EBA will issue AML/CFT guidance for CASPs through forthcoming amendments to the EBA’s ML/TF Risk Factors Guidelines, and new Guidelines to prevent the abuse of fund and crypto-asset transfers for ML/TF purposes.

EBA

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