The Money Laundering and Terrorist Financing (Amendment) Regulations 2019, S.I. 2019/1511, are a United Kingdom statutory instrument made on December 19, 2019. Most provisions entered into force on January 10, 2020. The instrument amended the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017, commonly called the Money Laundering Regulations or MLRs.
The regulations implemented changes associated with the EU Fifth Anti-Money Laundering Directive and, for crypto markets, brought defined cryptoasset exchange providers and custodian wallet providers into the UK AML and counter-terrorist financing framework. Their legal effect is therefore mainly found in the amended 2017 MLRs rather than in a standalone crypto rulebook.
Cryptoasset scope under the 2019 Regulations
The instrument inserted a statutory definition of “cryptoasset” and two categories of covered business. A cryptoasset exchange provider includes a business exchanging cryptoassets for money, money for cryptoassets, or one cryptoasset for another. It also covers arranging those exchanges and operating automated machines that exchange cryptoassets and money. A custodian wallet provider is a business safeguarding customers’ cryptoassets or private cryptographic keys for holding, storing and transferring cryptoassets.
By adding those providers to the MLRs’ list of relevant persons, the instrument made the applicable risk-based AML controls part of their regulatory framework. These include business and customer risk assessment, proportionate policies and controls, customer due diligence, ongoing monitoring, recordkeeping, staff training and internal reporting procedures. The precise duties depend on the activity and the current consolidated MLR text.
FCA registration and supervision
The 2019 Regulations required the Financial Conduct Authority to maintain a register of cryptoasset exchange providers and custodian wallet providers. They also created a fit-and-proper test covering an applicant and relevant officers, managers and beneficial owners. The FCA received powers connected with registration, information gathering, skilled-person reports, suspension, cancellation and enforcement.
Current FCA guidance states that a business providing in-scope cryptoasset services by way of business in the United Kingdom must register before beginning those services. FCA registration under the MLRs is an AML supervisory status, not an endorsement of a firm or a general authorisation for every crypto activity.
Wider anti-money laundering changes
S.I. 2019/1511 was broader than crypto. It also extended the regulated sector to certain letting agents and art-market participants, broadened the tax-adviser definition, strengthened customer due diligence and beneficial-ownership checks, and introduced discrepancy reporting involving company ownership registers. Other provisions supported information exchange between financial intelligence units and expanded supervisory and enforcement arrangements.
A central bank-account and safe-deposit-box information mechanism was also added. That mechanism was designed to let specified authorities obtain account information for defined law-enforcement, intelligence and supervisory purposes. These non-crypto measures explain why the instrument should be classified as an AML/CFT regulation with crypto-specific licensing, registration and custody implications.
Commencement, review and current position
Most provisions commenced on January 10, 2020. The anonymous prepaid-card amendment commenced on July 10, 2020, while the bank-account portal and its related enforcement provision commenced on September 10, 2020. HM Treasury published a post-implementation review of the MLR framework on June 22, 2022.
As of June 19, 2026, the 2019 instrument is in force and its crypto changes remain embedded in the MLR framework. The 2017 MLRs have since been amended, so readers should use the current consolidated text. S.I. 2026/621 is scheduled to introduce further changes from June 30, 2026, with additional crypto-specific phases in 2027. The FCA also expects the wider UK financial-services regime for cryptoassets to begin on October 25, 2027.
Why the regulation matters for UK crypto law
The 2019 Regulations established the UK’s AML registration gateway for the defined exchange and custody activities. They did not create a comprehensive conduct, prudential or market-abuse regime for all cryptoassets. Their durable significance is narrower: specified crypto intermediaries became supervised entities within the UK’s financial-crime framework, with the FCA acting as registration and AML/CTF supervisor.