The European Banking Authority (EBA) has published new draftRegulatory Technical Standards (RTS)that define the conditions under whichcrypto-asset service providers (CASPs)are required to appoint acentral contact point (CCP). This measure supports efforts to address financial crime risks linked to cross-border crypto-asset services.
Cross-Border Services and Local Obligations
CASPsestablished in one EU Member State can offer services in other Member States.In situations where they maintain a local presence—such as operating a crypto ATM—they are subject to the anti-money laundering and counter-terrorist financing (AML/CFT) requirements of both the home and host jurisdictions.The appointment of a central contact point can improve oversight and help manage money laundering and terrorist financing (ML/TF) risks in such arrangements.
The draft RTS clarifies:
- Thespecific conditionsunder which CASPs should appoint a central contact point; and
- Theexpected roles and responsibilities of that contact point.
The EBA does not specify the structure or location of the CCP within the EU, leaving this decision to the discretion of CASPs and national authorities.
Legal Background
Article 45(10) of Directive (EU) 2015/849 requires the EBA to develop RTS that outline the criteria for determining when a CCP should be appointed and what functions it should serve.An earlier version of these standards was published in 2017 and adopted through Commission Delegated Regulation (EU) 2018/1108, which applied only toElectronic Money Institutions (EMIs)andPayment Service Providers (PSPs).
Regulation (EU) 2023/1113,which came into effect on 30 December 2024, extends these obligations to CASPs by amending Directive (EU) 2015/849.Under the updated provisions, Member States may require CASPs with a local presence—established in forms other than a branch and headquartered in another Member State—to appoint a CCP within the host country.This update requires the EBA to revise the existing Delegated Regulation accordingly.
What This Means for CASPs
The revised RTS introduce new compliance expectations
for CASPs operating across borders.Those with local
establishments should consider whether they fall within scope and
begin preparations to meet the CCP requirement ahead of the
regulation's effective date.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
