Following international police collaboration, a 36-year-old individual suspected of the theft of over $11 million in IOTA, as well as fraud and money laundering, has been arrested on Jan. 24. Europol published a statement detailing the investigation on the day of the arrest. The suspect was reportedly arrested by United Kingdom’s South East Regional Organised Crime Unit, together with the Hessen State Police in Germany, the UK’s National Crime Agency and Europol, following a search warrant carried out in Oxford, U.K. The operation that lead to the man’s arrest — and the seizure of several of his electronic devices — …

The Organisation for Economic Cooperation and Development (OECD) has stated that global regulators should work together to facilitate the development of initial coin offerings (ICOs), according to a report released Jan. 15. The document calls for regulatory clarity and a supervisory framework for ICOs, defining such moves as “a stepping stone to their safer use for financing purposes.” The report also underlines the importance of standardized disclosure requirements, enhanced investor protection Anti-Money Laundering (AML) and Counter Terrorist Financing (CFT) measures. A separate document dedicated to the highlights of the report states: “A delicate balance will need to be achieved in …

Nistor Vlad Călin, the founder of Romanian crypto exchange Coinflux, will be extradited to the United States, local media company Mediafax reports Jan. 4. As Cointelegraph reported in December, Călin was arrested earlier on a warrant from the U.S. for organized crime, money laundering and fraud allegedly conducted through his cryptocurrency exchange. Călin has been reportedly arrested by the U.S. authorities after a note from a secret service agent accused him of knowingly helping to launder proceedings of criminal activity committed on the territory of the United States. According to the most recent report by Mediafax, Anatol Pânzaru, Călin’s lawyer, …

In 2018, barely a month passed without an official at a financial institution or government department calling on crypto to clean up its act. In the last quarter of the year alone, the United States Department of the Treasury, the Canadian Parliament and the Russian Federal Financial Monitoring Service all urged or announced the introduction of Anti-Money Laundering (AML) laws for cryptocurrencies, and all of them based their moves on the (noticeably mistaken) presumption that cryptocurrencies are a primary haven for criminals, who use them either as a medium of exchange for illicit goods or as a means of hiding …

The Cabinet, the executive organ of the government of Ireland, has approved a bill that would give effect to the European Union (EU) Fifth Anti-Money Laundering (AML) Directive, the Irish Times reported Jan. 3. The directive — which came into force on July 9, 2018 — sets a new legal framework for European financial watchdogs to regulate digital currencies in order to protect against money laundering and terrorism financing. Specifically, the directive will extend the scope to crypto platforms and wallet providers, end the anonymity of bank and savings accounts, and improve information exchange among authorities. EU member states must …

Vctrade, a crypto exchange recently launched by Japanese financial giant SBI Holdings, has implemented Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) deposits. The company has revealed this in a press release published Dec. 21. The announcement further notes that the exchange — which was launched in July — is considering adding Bitcoin Cash (BCH) deposits after further evaluation of the cryptocurrency. SBI has also explained that cryptocurrency withdrawals will not be available until late January 2019, and will be limited to a hardware wallet that the company refers to as “designated wallet.” The ability to only use one specific wallet, …

United States lawmakers have introduced a bill to levy further sanctions on Iranian financial institutions and the development and use of the national digital currency. HR 7321 was introduced in the House of Representatives by Rep. Mike Gallagher on Dec. 17. In a bid to combat money laundering and terrorism-related activities, the “Blocking Iran Illicit Finance Act” calls for sanctions on the Iranian financial sector and on the development and use of the national cryptocurrency. The act specifically prohibits transactions, financing or other dealings related to an Iranian digital currency, and would also introduce sanctions on foreign individuals engaged in …

Bermuda’s financial regulator has released draft regulation for crypto custodial services, according to an official press release issued on Tuesday, Dec. 18. The Bermuda Monetary Authority’s (BMA) draft regulatory document, entitled “Digital Asset Custody Code of Practice,” seeks to clarify the regulator’s stance on crypto custodial services in Bermuda and to protect clients’ assets. The document provides a detailed regulatory basis for offering crypto custody services, including both business management and technology issues, such as transaction handling, incident reporting, keys generation and operating hot and cold storage. Aiming to deliver a high level of protection for crypto custody clients, the …

The Swiss Federal Council (Bundesrat) has said that existing financial law in the country suits the blockchain industry, but needs specific adjustments. The government suggested several amendments in an official statement by the Federal Department of Finance (FDF) published on Friday, Dec. 14. In a meeting on Dec. 7, the Bundesrat adopted a report on the legal framework for blockchain and distributed ledger technology (DLT) in the financial sector. The report analyzes relevant framework provisions, outlines the need for measures and proposes concrete steps for developing the necessary legal conditions in the blockchain sphere. Specifically, the report recommend the development …

Cryptocurrency service providers will soon be required to obtain a license from the central bank of the Netherlands, major Dutch news outlet DeTelegraaf reports Dec. 11. The article explains that the measure has been undertaken hoping that it will “prevent such cryptocurrencies being used to launder money obtained through crime or to fund terrorism.” To qualify for a license, providers will reportedly need to know who their customers are and report unusual transactions. All of this data will be monitored by De Nederlandsche Bank, the Dutch central bank. After the implementation in April of similar laws in Japan obliging cryptocurrency …

The Financial Action Task Force (FATF), an intergovernmental financial security body, has demanded the United Kingdom step up its cryptocurrency monitoring. According to a new report released Dec. 7, the country needs increased measures to prevent money laundering and combat terrorist financing (CFT). As part of its dedicated “mutual evaluation” on the U.K.’s Anti-Money Laundering (AML) and CFT efforts, the FATF identified the need to give its mechanisms for reporting suspicious activity a “significant overhaul.” In addition, certain sectors of the economy — specifically real estate agents and high value dealers — do not show sufficient “understanding of their risks” …

There has been a significant wave of reports of suspicious cryptocurrency transactions to the police in Japan, English-language local media outlet Jiji.com reports Dec. 6. According to the report, the National Police Agency (NPA) have revealed that there have been 5,944 reports to the Japanese police about suspected illegal uses of cryptocurrencies, such as money laundering, between January and October. By comparison, the number of such reports last year was 669, but their number increased “after the implementation in April of a law obliging the [cryptocurrency exchange] operators to make reports to the police if they detect dubious digital currency …