The Financial Action Task Force, or FATF, reported that its delegates had reached agreement on an action plan “to drive forward timely global implementation” of global cryptocurrency rules.
In a February 24 post, The FATF said the financial watchdog plenary – made up of delegates from more than 200 jurisdictions – met in Paris and reached consensus on a roadmap aimed at strengthening “the application of the FATF standards on virtual assets and virtual asset service providers. According to the task force, in 2024 it will report on how FATF members have progressed in enforcing cryptocurrency standards, including regulating and supervising virtual asset service providers.
“The lack of regulation of virtual assets in many countries creates opportunities that criminals and terrorist financiers exploit”, the report states. “Since the FATF strengthened its Recommendation 15 in October 2018 to address virtual assets and virtual asset service providers, many countries have not implemented these revised requirements, including the ‘travel rule’ that requires obtaining, holding and transmitting originator and beneficiary information related to virtual asset transactions”.
The FATF plenary has concluded. Delegates of governments from around the world discussed a range of money laundering and terrorist financing issues.
See the outcomes of the plenary here➡️ https://t.co/FdC6ILFNRW
#FollowTheMoney pic.twitter.com/Ja0tLFrca5—FATF (@FATFNews) February 24, 2023
The FATF plenary has concluded. Delegates of governments from around the world discussed a range of money laundering and terrorist financing issues.
Part of the FATF “Travel Rule” includes recommendations for value-added service providers, financial institutions and regulated entities in member jurisdictions to obtain information on the originators and beneficiaries of certain virtual currency transactions.. In April 2022, the financial watchdog reported that many countries were not complying with its rules on combating the financing of terrorism (CFT) and anti-money laundering (AML).
Japan, South Korea and Singapore have been some of the countries apparently most willing to apply regulations in line with the travel rule. Some countries, such as Iran and North Korea, have been included in the FATF “grey list” for the control of suspicious financial activities.
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