Finland Compliance Report

Generated 2026-09-22

Partially Regulated

Regulatory Overview

Regulatory Status: Some rules exist but significant gaps; draft legislation or limited guidance
Key Regulator(s): Finnish Financial Supervisory Authority, European Banking Authority, Under the National Bureau of Investigation
Travel Rule: Adopted — Threshold: Implemented
Tax Reporting: Taxable Event: Any disposition as listed above triggers a capital gain or loss.. Calculation: Taxable gain = Selling Price – Acquisition Cost – Directly related acquisition/disposition expenses (e.g., exchange fees).. Acquisition Cost Method: Finland primarily applies the FIFO (First-In, First-Out) method by default. This means that the first crypto units acquired are considered the first ones sold. Taxpayers can sometimes use other methods if consistently applied and justifiable, but FIFO is the standard expectation.. Capital Gains Tax Rates (Pääomatulon verokanta): Finland has a progressive capital income tax rate:. 30% for the portion of capital income up to €30,000.

Key Facts

aml Regulator Name: Financial Supervisory Authority (FIN-FSA) The entity targeted by the FIN-FSA public warning on October 25, 2023, is Tesseract Finance Oy. The company may currently operate under the name "Stableton" (listed on FIN-FSA's registered providers list), but the enforcement action cited only refers to Tesseract Finance Oy. Violation Type: Providing virtual currency services without proper registration for a period, and deficiencies in internal control mechanisms, risk assessment, and customer due diligence processes for Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF). Penalty Amount: Public warning (julkinen varoitus). While not a monetary fine, it's a formal and significant disciplinary measure by the FIN-FSA, obliging the company to rectify its shortcomings. Date: Decision issued on October 25, 2023. Outcome: The company was required to implement corrective measures to comply with the Virtual Currency Providers Act and AML/CTF obligations. The public warning serves as a significant mark on the company's regulatory record. Source URL: Finanssivalvonnalta julkinen varoitus Tesseract Finance Oy:lle (FIN-FSA Press Release, 25.10.2023) The entity targeted by the FIN-FSA public reprimand on February 9, 2022, is Coinmotion Oy.
enforcement Entity Targeted: Tesseract Finance Oy (now operating as Stableton). Violation Type: Providing virtual currency services without proper registration for a period, and deficiencies in internal control mechanisms, risk assessment, and customer due diligence processes for Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF). Penalty Amount: Public warning (julkinen varoitus). While not a monetary fine, it's a formal and significant disciplinary measure by the FIN-FSA, obliging the company to rectify its shortcomings. Outcome: The company was required to implement corrective measures to comply with the Virtual Currency Providers Act and AML/CTF obligations. The public warning serves as a significant mark on the company's regulatory record. Entity Targeted: Coinmotion Oy (a registered virtual currency provider in Finland). Violation Type: Deficiencies in compliance with Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) obligations, specifically regarding customer due diligence, risk assessment, and internal control. The FIN-FSA found that Coinmotion's practices did not fully meet the requirements of the Act on Virtual Currency Providers and the Anti-Money Laundering Act. Penalty Amount: Public reprimand (julkinen huomautus). Similar to the public warning, this is a formal, non-monetary disciplinary action, indicating serious shortcomings that required immediate correction. Outcome: Coinmotion Oy was instructed to rectify the identified deficiencies in its AML/CTF processes to ensure full compliance with regulatory requirements. Outcome: The company was required to implement corrective measures to comply with the Virtual Currency Providers Act and AML/CTF obligations. The public warning serves as a significant mark on the company's regulatory record. Outcome: Coinmotion Oy was instructed to rectify the identified deficiencies in its AML/CTF processes to ensure full compliance with regulatory requirements. Legal Basis: UN Security Council Resolutions (e.g., those relating to terrorism financing, proliferation of WMDs, specific country regimes). Finland, as an EU member, implements these through EU Council Regulations. Legal Basis: U.S. statutes and Executive Orders. Legal Basis: The primary legal framework is the Act on Virtual Currency Providers (572/2019), which came into force in Finland on May 1, 2019. This Act places virtual asset service providers (VASPs) under the supervision of the Finnish Financial Supervisory Authority (FIN-FSA) and subjects them to AML/CFT obligations akin to traditional financial institutions.
general Markets in Crypto-Assets Regulation (MiCA): Fully applicable as of December 30, 2024, creating a harmonized EU-wide framework. Finland enacted the Act on Crypto-Asset Service Providers and Markets in Crypto-Assets to implement MiCA nationally. Regulation 2023/1113 (TFR): The revised Regulation on Information Accompanying Transfers of Funds and Certain Crypto-Assets. Regulation 2022/858: Pilot regime for market infrastructures based on distributed ledger technology. Act on Virtual Currency Providers: Went into effect May 1, 2019, based on the EU's 5th Anti-Money Laundering Directive (5AMLD). Finnish implementation of MiCA (Markets in Crypto-Assets Regulation) Finnish Act on Crypto-Asset Service Providers FIN-FSA's regulatory authority over crypto providers Current Finnish AML/CFT requirements for crypto services
licensing Financial Supervisory Authority (FIN-FSA): The primary regulator responsible for authorizing and supervising all crypto-asset service providers, ensuring compliance with anti-money laundering (AML), consumer protection standards, and operational requirements. Financial Intelligence Unit (FIU): Operates within the National Bureau of Investigation to receive and investigate suspicious transaction reports from crypto service providers, focusing on preventing money laundering and terrorist financing. European Banking Authority (EBA): Contributes by issuing guidelines and technical standards on specific crypto-assets and AML rules applicable throughout the EU. Issuance of licenses for providers offering stablecoins and other crypto assets. Obligations for market makers, custodial services, and exchanges to comply with stringent operational standards. 2023: Initial compliance measures for stablecoin issuers. 2024-2025: Gradual rollout affecting broader categories of crypto service providers. 2026: Full enforcement across all covered activities.
sanctions Compliance Requirement: Finland implements UN sanctions through EU regulations. VASPs must identify and freeze assets belonging to, or controlled by, individuals and entities listed by the UN. Legal Basis: UN Security Council Resolutions (e.g., those relating to terrorism financing, proliferation of WMDs, specific country regimes). Finland, as an EU member, implements these through EU Council Regulations. Compliance Requirement: EU financial sanctions, asset freezes, and restrictions on making funds or economic resources available directly apply to VASPs in Finland. This includes screening against the EU Consolidated Financial Sanctions List. Specific EU regulations have explicitly extended financial restrictions to virtual assets. Treaty on European Union (TEU), Article 29: Basis for CFSP decisions. Treaty on the Functioning of the European Union (TFEU), Article 215: Basis for EU Council Regulations implementing CFSP decisions. Key Regulation Example: Council Regulation (EU) 2022/398 (and subsequent amendments) concerning restrictive measures in view of Russia's actions destabilising the situation in Ukraine explicitly includes "crypto-assets" within the definition of "transferable securities" and "funds," and imposes prohibitions on providing crypto-asset wallet, account or custody services to Russian persons or entities if the total value exceeds €10,000 (initially, later tightened). Reference: Council Regulation (EU) 2022/398 of 9 March 2022 amending Regulation (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine (specifically Art. 5b and 5f). EUR-Lex Link Compliance Requirement: Although not directly legally binding on Finnish entities without a U.S. nexus, prudent VASPs with international operations often screen against OFAC's SDN List due to the risk of indirect impact or reputational damage. OFAC has also issued specific guidance on virtual currency.
securities Crypto activity is legal in Finland, and in 2025–2026 the framework is shaped by both national Finnish law and EU-level regulations such as MiCA (Markets in Crypto-Assets Regulation); however, the Finnish-specific statutory implementation details must be read through the national database of legislation maintained by the Ministry of Justice, Finlex Finlex is a free, public online database of legal information owned by... The principal regulatory authorities are Finnish national bodies, and the primary law texts are published in the Statute Book of Finland, which is accessible via Finlex, with the official record of EU legal acts available through EUR-Lex Access the Official Journal - EUR-Lex Licensing and registration obligations for crypto-asset service providers and digital asset securities are derived from both Finnish statutes and directly applicable EU regulations, with the Official Journal of the European Union serving as the authoritative source for EU-level legislative acts affecting Finland Access the Official Journal - EUR-Lex No specific countable list of licensed Finnish crypto entities has been published in the source texts; therefore, any statement that a specific entity has been granted a license cannot be verified from the supplied sources EUR-Lex — Access to European Union law — choose your language The practical reality for a business is that it must consult both the Finnish national legal database for national implementation acts and EUR-Lex for EU regulations, particularly because the EU legal framework for financial services, including capital markets and sustainability reporting, is continuously being amended EUR-Lex - 52021SC0344 - EN - EUR-Lex The Finnish legal information infrastructure is owned by the Ministry of Justice, and the Finlex database contains up-to-date legislation and the Statute Book of Finland, along with case law from Finnish courts including the Supreme Court, courts of appeal, the Supreme Administrative Court, administrative courts, the Market Court, the Labour Court, and the Insurance Court Finlex is a free, public online database of legal information owned by... Finlex also publishes regulations and decisions of public authorities, generally applicable collective agreements, collections of regulations, treaties concluded with foreign states and international organisations, the Finnish Treaty Series, up-to-date income tax treaties, and a treaty reference database Finlex is a free, public online database of legal information owned by... The primary law sources for Finland are the statutes published in the Statute Book of Finland, with the latest published statutes including those from 2026, such as statute 758/2026 concerning a decision by Ruokavirasto on cancelling a previous decision and establishing a new infection zone due to African swine fever, and statute 756/2026 from the Ministry of Justice on revising court fees Finlex is a free, public online database of legal information owned by...
stablecoin Official MiCA Text: Regulation (EU) 2023/1114 FIN-FSA Information on MiCA: FIN-FSA - MiCA Regulation (in Finnish) (While primarily in Finnish, it confirms their role and the regulation's importance). Definition: Crypto-assets that purport to maintain a stable value by referencing the value of one single fiat currency that is legal tender (e.g., a token pegged 1:1 to EUR or USD). Regulatory Basis: These are essentially electronic money under MiCA. They are primarily regulated by Directive 2009/110/EC on the taking up, pursuit and prudential supervision of the business of electronic money institutions (E-money Directive), as implemented into Finnish law by the Act on Payment Institutions and Electronic Money (Laki maksulaitoksista ja sähkörahasta 297/2010). MiCA adds specific rules for crypto-asset aspects. Finnish E-money Act: Laki maksulaitoksista ja sähkörahasta (297/2010) (in Finnish) Definition: Crypto-assets that are not EMTs and purport to maintain a stable value by referencing any other value or right, or a combination thereof, including one or several official currencies that are not legal tender, one or several commodities or one or several crypto-assets, or a combination of such assets. (e.g., a token pegged to a basket of currencies, gold, or a portfolio of assets). Regulatory Basis: These have a dedicated regime under MiCA (Title III). c) Other Crypto-Assets (not directly stablecoins under MiCA definitions):
tax Taxable Event: Any disposition as listed above triggers a capital gain or loss. Calculation: Taxable gain = Selling Price – Acquisition Cost – Directly related acquisition/disposition expenses (e.g., exchange fees). Acquisition Cost Method: Finland primarily applies the FIFO (First-In, First-Out) method by default. This means that the first crypto units acquired are considered the first ones sold. Taxpayers can sometimes use other methods if consistently applied and justifiable, but FIFO is the standard expectation. Capital Gains Tax Rates (Pääomatulon verokanta): Finland has a progressive capital income tax rate: 30% for the portion of capital income up to €30,000. 34% for the portion of capital income exceeding €30,000. Note: These rates are for total capital income, which includes other sources like rental income, dividends, etc., not just crypto gains. Capital Losses: Losses from virtual currency disposals can be deducted against capital gains from other virtual currencies or other types of capital gains within the same tax year and for the subsequent five (5) tax years. Capital losses cannot be deducted against earned income.
travel rule Objective: Prevent illicit activities by making it difficult for criminals to use money laundering techniques across borders. Applicability: Applies to all financial services, including crypto-to-fiat and fiat-to-crypto exchanges, as well as peer-to-peer transactions involving cryptocurrencies. Names and addresses of the sender and recipient Description of the transaction (including amount and cryptocurrency type) Purpose of the transfer (if known) Compliance Infrastructure: Integrate robust systems for real-time collection, verification, and transmission of required data points. Enhanced Due Diligence (EDD): Additional layers of verification for high-risk transactions may be necessary. Cross-Border Coordination: Effective communication with global counterparts is crucial for seamless adherence across jurisdictions.

Sources

This report is AI-generated from publicly available regulatory sources. Last updated: 2026-09-06. View full profile