Since the publication of its recommendations on the matter three years ago, the FATF, an intergovernmental body created in 1989 to define the rules in the fight against money laundering and the financing of terrorism, “limited progress” has been made to strengthen the national regulations, was stated in a report quoted by the AFP agency.
In particular, the agency examined the “Travel Rule”which requires the issuing financial institution to transmit certain information about customers and transactions to the receiving financial institution of said transactions.
In 2015, the Working Group recommended expanding this standard to crypto asset service providers, for transfers worth US$1,000.
However, a balance made by the Financial Action Group -among a group made up of 98 States and regional organizations dedicated to the fight against money laundering- shows that only 29 of them established this regulation, and that only 11 apply it effectively. .
“This demonstrates the urgent need for jurisdictions to accelerate the application of regulations to combat the diversion of crypto assets for criminal and terrorist purposes,” FATF insists.
The agency also notes that the private sector made efforts to develop technical solutions to make these controls possible, although they still need to be improved.
In the European Union, FATF recommendations on monitoring crypto asset transfers are being adopted as part of new anti-money laundering measures.
Source: Ambito
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