Jan 2, 2020
Txbit.io — Update regarding mandatory KYC checks
Dear Txbit users,
As we previously have reported on October 3rd (Read here), KYC identity checks are coming as a result of the 5th EU Anti Money Laundering Directive (AMLD5). Previously we reported that these checks will be enforced on the 10th of January 2020, but given that the Netherlands are still discussing the precise implementation of the new laws, it is now expected that it will take a few months before the new regulations are finally enforced.
As a result of this new development, Txbit company decided to continue operating out of the Netherlands until full regulations are published and enforced, at which stage we will either continue operating as normal or move the headquarters to Estonia.
KYC verification service will launch on the 10th of January as previously planned, but will be optional until enforcement date in the Netherlands. We hope this will make the transition as smooth as possible, allowing users ample time to verify their identities before the regulations are enforced.
Clarification on daughter company in Estonia
Given that the full details of the Dutch regulations are still not clear, we took precautionary measures to open a company in a jurisdiction with well established laws and regulations regarding cryptocurrencies.
As previously reported, we proceeded to open up a daughter company in Estonia, Txbit Exchange OÜ, and on the 20th of December 2019 we were granted two licenses:
- License for providing services of exchanging a virtual currency against a fiat currency
https://mtr.mkm.ee/taotluse_tulemus/523716?backurl=%40juriidiline_isik_show%3Fid%3D268371 - License for providing a virtual currency wallet service
https://mtr.mkm.ee/taotluse_tulemus/523728?backurl=%40juriidiline_isik_show%3Fid%3D268371
Exclusion of High-Risk territories
It is also worth noting that given the regulations in both the Netherlands and Estonia, we will be excluding the following countries and territories from using Txbit due to their High-Risk classification by FATF. These are:
- Iran
- North-Korea
