Changes in practice of state supervision over crypto business

The Estonian Financial Intelligence Unit (FIU) recently changed its supervision practice when issuing crypto licenses or changing data regarding such licenses.

Almost any change in the data of the company or persons associated with the company (board member, contact person, procurator, owner) entails additional verification measures. The FIU has the right to inspect the company’s office and request documentary evidence of any information relating to the company.

In this case, the change of persons associated with the company entails the obligation to re-submit a certificate of criminal record (if such persons are non-residents of Estonia).

Also, if a company makes any changes to its data, these changes have to be notified to the FIU at least 30 days before the planned change.

Another innovation is that, together with the filing of annual reports, the company has to submit a confirmation of the fulfillment of its obligation to notify the FIU of any changes in the company’s data, or confirmation of the absence of such an obligation.

Failure to comply with these seemingly insignificant requirements may ultimately lead to license revocation. Therefore, it is now needed to approach with extreme caution when making any changes to crypto companies.