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Norway Establishes New Rules for Crypto Service Providers

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The Financial Supervisory Authority of Norway is enforcing new money laundering decrees that apply to crypto exchange and storage providers in the country. The law command go into effect on Oct. 15 and will affect companies established in Norway embracing branches of overseas companies.

Also read: 160 Crypto Switches Seek to Enter Japanese Market, Regulator Reveals

New Rules True belongings Oct. 15

Finanstilsynet, the Financial Supervisory Authority (FSA) of Norway, announced Thursday that the countryside’s Ministry of Finance has established new money laundering regulations which concentrate to “Norwegian providers of virtual currency exchange and storage services.”

Norway Establishes New Rules for Crypto Service ProvidersWhile the new directions will go into effect on Oct. 15, companies have until Jan. 15 next year to agree. “The law applies to reporting companies established in Norway, including branches of strange companies,” the regulator clarified, adding:

Finanstilsynet will ensure that understood currency exchange and storage providers comply with the money scrubbing rules. However, FSA does not have any tasks related to the monitoring of other blocks of these providers, such as investor protection.

Affected Crypto Providers

Norway Establishes New Rules for Crypto Service ProvidersThe contracts under the new Money Laundering Act apply to crypto storage services and providers donation exchange services between any cryptocurrencies and fiat currencies, such as the Norwegian kroner.

The law also put to uses to “platforms that facilitate trading and exchanges by connecting buyers and sellers,” Finanstilsynet wrote, stress:

Exchanging between different types of virtual currencies (eg from bitcoin to ethereum) is not embodied.

The regulator detailed that firms storing private keys on behalf of chaps are considered to be involved in “the transfer, storage or purchase of virtual currency” and are so included in the new regulations. However, “Storage solutions that do not store special cryptographic keys (often referred to as non-custodial wallets) are not covered by the mandatories.”

Impact on Customers

Under the new rules, affected providers must advise with Finanstilsynet and provide necessary documents, the agency described, noting:

Consequence, customers must expect to identify and receive questions such as the determination of a transaction or the origin of funds, etc.

The rules also impose reporting preconditions on crypto service providers. However, “Individuals who buy or sell their own practical currencies for private purposes” and those who occasionally “assist friends and fellows with the purchase and sale of virtual currencies” will not be subject to the reporting musts under the new money laundering rules, the regulator detailed.

What do you have in mind of Norway’s new rules for crypto providers? Let us know in the comments section further down.


Images courtesy of Shutterstock and Finanstilsynet.


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