Monaco files bill to rebuild crypto licensing around MiCA and FATF standards

Monaco's government (@GvtMonaco) has filed Bill No. 1131 with the Conseil National, proposing a full overhaul of the Principality's framework for crypto-asset service providers. The bill, submitted on August 6, 2026, would repeal the existing 2022 law and consolidate oversight under a single regulator.

What the bill changes

Under the current regime introduced by Law No. 1.528 in July 2022, crypto oversight was split into two tracks: asset issuance and operational services fell under the State Minister, while investment-related crypto services required authorisation from the Commission de Contrôle des Activités Financières (CCAF). That division required approval from the State Minister for asset issuance and operational services, while investment services involving crypto assets required authorisation from the CCAF.

Bill No. 1131 would end that split. The draft law narrows which crypto-asset services may operate in Monaco, adds new operational requirements, and requires all providers to obtain prior authorisation from the CCAF. It also introduces corporate governance rules, prudential safeguards, and professional-conduct obligations for licensed firms. Under the bill, the CCAF would receive broader supervisory and enforcement powers, with licensing decisions following joint reviews by the Autorité Monégasque de Sécurité Financière and the Agence Monégasque de Sécurité Numérique.

The reform aligns Monaco's rules with the EU's Markets in Crypto-Assets Regulation (MiCA), whose rules for service providers came fully into force across the bloc in 2026, and with FATF anti-money laundering standards. Monaco is not an EU member, but the government has framed the alignment as a commitment to the highest levels of financial security and compliance.

The grey list backdrop

The bill arrives against a difficult regulatory backdrop for the Principality. Monaco was added to the Financial Action Task Force's list of Jurisdictions under Increased Monitoring, known as the FATF grey list, in June 2024. The decision was linked to insufficient progress in combating illicit financial flows.

Monaco committed to an action plan addressing strategic deficiencies in its AML regime, including strengthening its understanding of foreign tax fraud and money laundering risks, increasing efforts to seize criminal assets abroad, and improving the quality and timeliness of suspicious transaction reporting. FATF's Recommendation 15 requires jurisdictions to adequately regulate virtual assets and service providers, and Moneyval found only partial compliance from Monaco, citing the need for more robust controls and oversight.

If the National Council approves the bill, secondary implementing regulations would set out technical and practical requirements for businesses. The government has stated the changes are intended to strengthen regulatory compliance and reduce the risk of money laundering and other illicit financial activity.

Sources:
Monaco Life: Monaco tables new law to overhaul rules for crypto-asset firms
GN Crypto News: Monaco Files Bill to Align Crypto Rules With EU MiCA, FATF
ComplyAdvantage: FATF Plenary June 2024, Changes to the Grey List