The Czech Republic reportedly plans to get tough with the cryptocurrency sector and set even tougher regulation for the cryptocurrency companies compared to the Fifth AML Directive approved in the EU.
According to the local media reports, country's authorities consider the imposition of the fine that can reach even EUR 500,000 for the companies that will fail to register with the national Trade Licensing Office.
EU AMLD5 suggests that crypto exchanges and custody solution providers are covered by the regulators' power. At the same time, the crypto-related companies in their turn must company with the set of rules specified by the AMLD5 guideline aimed at making transactions transparent.
Meanwhile, the Czech Republic's measures will be well beyond AMLD5. For reference, the document was created and approved in July 2018 and is expected to establish uniform standards for regulation in the EU.
However, there are no reports about the date when the announced measures will come into force in the country.
EU-members are rumoured to revise and amend their rules in line with AMLD5 by late January 2020.
This move is believed to make the country less attractive for business, and thus some companies can decide to relocate offices to the regions with the more favourable environment.