Swiss regulator FINMA wants to bring stricter AML rules for crypto transactions

The Swiss Financial Market Supervisory Authority (FINMA) has suggested a plan to bring stricter anti-money laundering (AML) rules for crypto transactions.

Per a proposal announced Friday, crypto transactions of over 1,000 Swiss francs (~$1,025) will require client identification as opposed to the current limit of 5,000 francs (~$5,120). FINMA said the new limit has been considered due to “heightened” money-laundering risks in the crypto space.


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The proposal will also bring the new threshold in line with the “international standards” approved in mid-2019, said FINMA, indicating the Financial Action Task Force’s (FATF) directive from last June.

FATF, an international money-laundering watchdog, approved a maximum transaction limit of $1,000 for unidentified crypto transactions. It means crypto firms, including exchanges, are required to collect client information of those initiating transactions of over $1,000, as well as details about recipients of those funds.

FINMA will hold a public consultation on the new limit proposal until April 9, 2020, per the announcement.

Last month, the European Union also implemented its Fifth Anti Money Laundering Directive (AMLD5), which requires crypto firms and exchanges to follow enhanced know-your-customer (KYC) programs and reporting obligations.

About Author

Yogita Khatri is a senior reporter at The Block, covering all things crypto. As one of the earliest team members, Yogita has played a pivotal role in breaking numerous stories, exclusives and scoops. With nearly 3,000 articles under her belt, Yogita holds the records as The Block's most-published and most-read author of all time. Prior to joining The Block, Yogita worked at crypto publication CoinDesk and The Economic Times, where she wrote on personal finance. To contact her, email: [email protected]. For her latest work, follow her on X @Yogita_Khatri5.