Regulatory Alerts2023-07-12
Added · Updated
Exchange transactions from one euro denomination to another
Exchange institutions must establish and verify the identity of customers for all cash transactions involving the exchange of euro banknotes from one denomination to another, regardless of the transaction amount. This requirement applies because such exchanges carry a heightened risk of money laundering, particularly when converting between small and large denominations. While lower-risk transactions involving coins are excluded, institutions must report transactions of EUR 10,000 or more to the Financial Intelligence Unit (FIU-NL) without delay. The guidance also outlines subjective indicators of high-risk behavior, such as repeated exchanges or uncounted cash deliveries, to assist institutions in identifying potential illicit activities.