AML/CFT for Custodian Wallet

AML/CFT requirements for custodian wallet services

If a custodian wallet service provides any of the activities currently regulated under DPT service provider, it will be subject to AML/CFT measures.

According to MAS (FAQs)
last revised on 31 March 2021

29.2 All DPT service providers are subject to AML/CFT requirements under Notice PSN02 to mitigate the ML/TF risks arising from the anonymity, speed and cross-border nature of transactions facilitated by such DPT service providers. There will not be any DPT services that will be exempted from AML/CFT regulation.

31.4 Where DPT service providers also facilitate the transfer of DPT or provide custodian wallet services as part of their business, MAS intends to require that they apply AML/CFT measures to mitigate the risks posed by such services.