Since Bulgaria is a member of the European Union, it is rightly considered to be a favorable location for developing business. The same reason applies to the active growth of financial technologies and crypto asset operations in this country. Are you also planning to start a crypto company there? Then you have stumbled upon the right post: we will discuss the innovations in the crypto business regulation field of Bulgaria.
It is vital to acknowledge that last year Bulgaria took some active steps towards harmonizing its local legislation with the EU Directives covering illegal income. Now to start a crypto business in Bulgaria, entrepreneurs need to take care of anti-money laundering compliance and customer due diligence requirements. This is especially important for crypto exchange services providers and e-wallet providers.
The adaptation of cryptocurrencies in Bulgaria is not stopping. Therefore, companies are required to take AML compliance seriously. To prevent money laundering and support the combat against criminal activity, crypto exchanges and their operators have to register at the National Revenue Agency.
The innovation in regulation taking place in Bulgaria mainly relates to solving the problems that arise with:
- Fintech regulation adaption in Bulgaria;
- Digitalization of the financial sector;
- The growing risk of using digital platforms for illegal activities as money laundering.
Money laundering remains a big problem internationally. Unfortunately, the development of cryptocurrencies only supports this challenge. Yes, no doubt that cryptocurrencies offer faster and cheaper international transactions, yet they attract criminal activity to the sector. The innovations in Bulgarian regulation aim to support the business transparency initiative promoted by the EU. That is why these changes are important to consider while starting a crypto business in Bulgaria.
Order a private consultation with COREDO if you have more questions about AML compliance or crypto regulation in European countries.