Partner Prof. Dr. Bernd Geier from BCLP’s Frankfurt office commented Aug. 24 in Börsen-Zeitung on the German legislation to implement the 5th EU anti-money-laundering directive and its consequences for crypto currencies. The 5th EU anti-money-laundering directive requires member states to introduce AML-checks for the conversion of virtual currencies into fiat money as well as for the operation of electronic wallets for customers. The German government plans to gold-plate these rules by expanding their scope to certain other forms of tokens (i.e. beyond the scope of virtual currencies). It further introduces new authorization requirements. The draft bill – if adopted – would basically result in all kinds of services to customers in affected tokens to trigger the rules of the German Banking Act and require the provider to either obtain a banking or a financial services license. 

Please click here to read the full article (only in German).