On 1 July 2025, the new European Anti-Money Laundering Authority (AMLA) officially launched its supervisory powers. Barely a month into its mandate, AMLA made its stance on crypto crystal clear: firms active in the sector must put strong anti-money laundering (AML) and counter-terrorist financing (CFT) safeguards in place from day one. This isn’t just a policy preference, it reflects the practical reality of the EU’s new AML package (Regulation (EU) 2024/1620 establishing AMLA, Regulation (EU) 2024/1624 on AML/CFT, and Directive (EU) 2024/1640), which reshapes Europe’s fight against financial crime and puts crypto-asset service providers (CASPs) in the spotlight.
Crypto is understandably high on AMLA’s agenda. CASPs are particularly exposed to money laundering and terrorist financing risks, given their cross-border nature, the complex technological features of blockchain, and the anonymity-enhancing tools that still exist within the market. Under the Markets in Crypto-Assets Regulation (MiCA), CASPs must now be licensed to operate in the EU. Several authorisations have already been granted, including for some of the larger firms in the sector, and AMLA expects that number to rise quickly. With growth comes heightened risk, and AMLA wants consistent standards applied across Europe before problems escalate.
The difficulty is that, for now, the responsibility for authorising and directly supervising CASPs lies with national competent authorities (NCAs). This creates an immediate challenge: each Member State may interpret AML/CFT obligations differently, leaving room for uneven requirements or even regulatory gaps. Criminals thrive on such differences and the “potential” created by regulatory arbitrage. This is where AMLA’s new role matters. Under its founding regulation (AMLAR), AMLA can indirectly supervise national authorities, step in when national supervision proves ineffective, and, most importantly, promote a level playing field across the EU. In its first Work Programme, AMLA stresses that it expects NCAs to ensure CASPs have strong AML/CFT frameworks in place from the very first day of their authorisation.
Another central element of AMLA’s plan is its new financial intelligence function. Crypto will feature prominently among the first areas for joint analysis of cross-border typologies and emerging risks. This move is welcome, given that many CASPs operate across several Member States and fragmented intelligence has long made it easier for illicit actors to exploit weak spots. By pooling insights at the EU level, AMLA can help national authorities connect the dots between seemingly isolated activities, something that smaller NCAs often struggle to do on their own.
The message from AMLA’s early communications is quite clear. Crypto is a top priority, and weak AML controls will not be tolerated. CASPs must be ready to demonstrate compliance from the moment they are licensed. For supervisors, AMLA’s arrival is both a relief and a challenge. Relief in that there is finally a European body to drive coordination, and challenge in that national systems will need to adapt to higher standards. If AMLA can bridge the gap between its ambitious programme and the everyday reality of overstretched national authorities, Europe may finally move towards a truly unified approach in the fight against financial crime.
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