German financial regulator BaFin today (Monday) said it had extended its measures in place with online bank N26 to prevent money laundering, the latest episode of stepped-up scrutiny of one of Europe’s most valuable fintechs.
Constraints since 2021 that have now been extended include a special monitor at the bank and a limit on new customers at 50,000 per month.
BaFin said that despite “some progress, the institution still has deficiencies in its systems”.
N26 said that it has made “made significant investments in anti-money laundering measures” and is “committed to comply with all aspects of the order as quickly as possible”.
N26, which reports more than 8 million customers, says it does business in 24 countries, mainly in Europe.
Bafin said it was also requiring of N26 the establishment of adequate IT monitoring, stepped up quality assurance and the establishment of effective outsourcing controls.