DeFi protocol frontend in Spain

CNMV — Securities market, crypto advertising regulation (mandatory risk warnings)

Evidence fact es.licensing.regulator-banco-de-espania not found (may have been renamed).

MiCA Regulation (EU) (2023) — CASP authorization, comprehensive crypto regulation

Law 10/2010 (Anti-Money Laundering) (2010) — Pre-MiCA VASP registration with Banco de Espana

VASP: CASP authorization under MiCA via CNMV/Banco de Espana. 6-12 months. Relatively reasonable registration process — attracted crypto firms.

CUSTODY: CASP authorization — custody is a licensed MiCA activity

EXCHANGE: CASP authorization under MiCA; CNMV mandatory risk warnings on all crypto marketing

Directive (EU) 2015/849 (4th AMLD): The foundational directive, which brought more entities into scope and strengthened CDD.

Directive (EU) 2018/843 (5th AMLD): Crucially, this directive extended the scope of AML/CFT rules to include virtual asset service providers (VASPs), specifically:

Providers engaged in exchange services between virtual currencies and fiat currencies.

Custodian wallet providers.

Directive (EU) 2018/1673 (6th AMLD): Primarily focuses on harmonizing the definition of money laundering criminal offenses and related sanctions across the EU, which indirectly supports the AML framework.

Ley 10/2010, de 28 de abril, de prevención del blanqueo de capitales y de la financiación del terrorismo (Law 10/2010, of April 28, on the prevention of money laundering and terrorist financing).

Real Decreto 304/2014, de 5 de mayo, por el que se aprueba el Reglamento de la Ley 10/2010 (Royal Decree 304/2014, of May 5, approving the Regulation of Law 10/2010): This Royal Decree provides detailed rules for the implementation of Law 10/2010. It also has been amended to reflect EU changes.

Real Decreto-ley 7/2021, de 27 de abril (Royal Decree-Law 7/2021, of April 27): This specific decree transposed significant parts of the 5th AMLD, formally bringing VASPs under the scope of Law 10/2010 and establishing the requirement for their registration with the Bank of Spain.

Circular 2/2022 del Banco de España, de 23 de marzo (Circular 2/2022 of the Bank of Spain, of March 23): This circular specifically regulates the administrative registration of providers of virtual currency exchange services for fiat currency and electronic wallet custody services.

Natural Persons: Obtain and verify identity using reliable independent sources (e.g., national ID card, passport). Required data includes full name, date and place of birth, address, and national identification number.

Legal Persons/Entities: Obtain and verify the name, legal form, address, proof of incorporation, articles of association, names of directors, and the legal representative(s).

For legal entities, identify any natural person(s) who ultimately own or control 25% plus one share or more of the entity, or who otherwise exercise control.

If no such natural person is identified, identify the natural person(s) who hold the position of senior managing official(s).

Understanding the Purpose and Intended Nature of the Business Relationship:

Ongoing Monitoring of the Business Relationship:

Carrying out occasional transactions exceeding €1,000 (whether in a single transaction or several linked transactions).

Where there is suspicion of money laundering or terrorist financing.

When CDD is Required:

Entity Targeted: Binance (specifically, Binance Spain S.L.). Violation Type: Non-compliance with the CNMV's Circular 1/2022 on advertising of crypto-assets. The alleged violations included insufficient disclosure of risks, lack of clarity, and inadequate warnings in advertising campaigns. Outcome: Fine imposed and publicly announced. This marked a significant enforcement of Spain's relatively new crypto advertising rules.

Entity Targeted: Tools for Humanity Corp. (the company behind the Worldcoin project). Violation Type: Illicit processing of personal data (especially sensitive biometric data like iris scans), lack of transparency, insufficient information provided to users, and processing of data of minors. Penalty Amount: Precautionary measure imposing an immediate prohibition on the collection and processing of personal data by Worldcoin in Spain. A final fine amount will be determined after a full investigation, potentially reaching up to €20 million for GDPR violations. Outcome: Precautionary measure imposed, requiring Worldcoin to cease all data collection and processing activities in Spain related to its iris scanning. Investigation ongoing. This is a very significant action due to its direct operational impact and the novelty of regulating biometric data in a crypto context.

Entity Targeted: Numerous (hundreds) of unregistered entities operating in the cryptocurrency and forex markets, often referred to as "chiringuitos financieros" (financial boiler rooms). Specific examples include warnings against companies like Bitget, MEXC Global, and countless smaller, fraudulent-appearing platforms. Violation Type: Offering investment services or products related to crypto assets in Spain without the required authorization or registration with the CNMV. This often includes deceptive advertising practices. Penalty Amount: While not a single "fine," the outcome is a public warning, inclusion on the CNMV's "grey list" (list of unauthorized firms), and potential legal action or blocking of access within Spain. This effectively prohibits their operations in Spain and serves as a public consumer alert. Outcome: Prohibition of unauthorized operations in Spain, public consumer warning, and potential escalation to legal action. This proactive enforcement has been a continuous and significant effort to protect investors.

Outcome: Fine imposed and publicly announced. This marked a significant enforcement of Spain's relatively new crypto advertising rules.

Outcome: Prohibition of unauthorized operations in Spain, public consumer warning, and potential escalation to legal action. This proactive enforcement has been a continuous and significant effort to protect investors.