Crypto ATM / kiosk operator in Montenegro

There is no specific "crypto exchange license".

However, if the exchange handles fiat currency deposits and withdrawals, it might be deemed to provide payment services or electronic money services. In such cases, a license from the Central Bank of Montenegro (CBCG) under the Law on Payment Services (Zakon o platnom prometu) may be required. This would be a license for a payment institution or electronic money institution, not a crypto-specific one.

All exchanges, regardless of fiat handling, are considered "obligated entities" under AML laws and must comply with those provisions.

Customer Due Diligence (CDD): Implementing robust KYC procedures for all clients.

Ongoing Monitoring: Monitoring transactions and client relationships for suspicious activities.

Reporting: Reporting suspicious transactions (STRs) to the Financial Intelligence Unit (FZPCG).

Risk Assessment: Conducting a comprehensive risk assessment of ML/TF risks.

Internal Controls: Establishing internal policies, procedures, and controls for AML/CTF.

AML Officer: Appointment of a designated AML Officer and providing regular training to staff.

There are no specific capital requirements for being a VASP solely under AML obligations.

However, if a license from the CBCG (for payment services/e-money) or KHOV (for investment services) is required, then specific capital requirements would apply based on those respective laws. For instance, payment institutions have minimum capital requirements (e.g., €20,000 to €125,000 depending on services).

An entity generally needs to be incorporated in Montenegro to conduct business activities and be subject to local regulation.

A registered office and local management/personnel, including a local AML Officer, would typically be expected for AML compliance.

Company Registration: Establish a legal entity (e.g., LLC) in Montenegro with the Central Registry of Commercial Entities (CRPS).

Exchange between virtual assets and fiat currencies.

Transfer of virtual assets.

Collect required originator and beneficiary information.

Transmit this information securely and reliably to the beneficiary VASP (or store it for non-VASP beneficiaries).

Screen transactions for sanctions compliance and suspicious activity.

Respond to requests for information from competent authorities.

Administrative Fines: Significant monetary penalties for legal entities and responsible persons within those entities.

Revocation of Licenses: Suspension or permanent revocation of operating licenses for VASPs.

Criminal Charges: In cases of severe or intentional non-compliance, particularly where money laundering or terrorism financing is involved, criminal charges can be brought against individuals and corporate officers.

Do Kwon: Sentenced to four months in prison.