Estonia has provided licenses to provide cryptocurrency services in its own country, with related companies decreasing by 90 percent due to Estonia’s strict cryptocurrency regulations.

Crypto banking company Striga announced on the 22nd (local time) that it has obtained a license from the Estonian financial authorities (FIU) to provide cryptocurrency services.

This is the first case of license issuance since the application of the Estonian Cryptocurrency Regulation Act, which has been greatly strengthened since the beginning of the year.

Striga is an affiliate of Lastbit, a payment company based on Bitcoin Lightning Network.

Stree explains that it has obtained a license in compliance with Estonia’s local anti-money laundering law.

Earlier, the local industry predicted that Estonia’s strict cryptocurrency regulations in May will reduce 90 percent of related companies in Estonia.

Estonia has been implementing a strengthened cryptocurrency company license system since March. As a result, existing cryptocurrency companies can renew their licenses by submitting business plans and financial data by mid-June.

According to Mattis Mecker, head of Estonia’s Financial Intelligence Unit (FIU), no company has submitted the application as of May.

This is because the standards for demand are high, and many companies have given up renewing their licenses.

Meanwhile, U.S. Treasury Secretary Janet Yellen and Estonian Finance Minister Kate Pentus-Romanus discussed cryptocurrency regulations in a video call in January.

Following local media, Estonia’s finance minister suggested that the U.S. Treasury Secretary could share best practices related to the prevention of money laundering in cryptocurrency transactions.

Estonia’s finance minister said, “We discussed opportunities for cooperation in following the International Monetary Laundering Organization (FATF) Travel Rule and regulating cryptocurrency assets.”

Estonia added that it is writing a cryptocurrency bill that will increase transparency while reducing the anonymity of cryptocurrency transactions, including Bitcoin and NFT transactions.

By fonuder

Leave a Reply