Ireland Tightens Anti-Money Laundering Rules for Digital-Asset Wallet Transactions

Ireland plans to tighten anti-money laundering rules for transactions involving digital-asset wallets.

Decrypt reported on August 14 that the Irish government had unveiled its first national anti-money laundering strategy, including regulations for digital assets. Ireland's Department of Finance formally announced the strategy on August 13, and it will remain in effect through 2030.

Under the plan, digital-asset service providers in Ireland must follow enhanced verification procedures when transferring assets to or from self-hosted wallets not managed by exchanges or other operators. Stricter customer due-diligence requirements will also apply to transactions with overseas digital-asset firms.

The measure is intended to implement the European Union's Transfer of Funds Regulation, or TFR. Ireland also aims to boost transparency in fund transfers by applying the Financial Action Task Force's travel rule, which requires verification of sender and recipient information when digital assets are transferred.

Simon Harris, Ireland's finance minister, said criminal groups are abusing new technologies, digital assets and complex international financial networks to hide illicit proceeds. The policy sends a clear message that Ireland will not become a safe haven for laundering criminal proceeds, he added.