The United States' FinCEN plans to make crypto-related transactions a priority in their AML scheme

The United States’ FinCEN plans to make crypto-related transactions a priority in their AML scheme

The Financial Crimes Enforcement Network (FinCEN) of the U.S. will remain consistent in monitoring the crypto industry as part of the major strategies for fighting economic fraud. The network plans to release policies guiding financial establishments on means to include cryptocurrency activities into their Anti-Money Laundering (AML) strategies.

Earlier today, FinCEN disclosed that crypto-related transactions are going to be a major concern in the nation’s fight against economic fraud and well-considered in the AML strategies. According to the regulator, the enforcement of these policies is hoped to help most establishments in their struggle to measure up to their responsibilities. The Network explained that in a short time, it will give guidelines to be followed by financial bodies to consider cryptocurrency transactions in their AML plans.

The authority stated that the network acknowledges that some rules will not be essential to all affected establishments, however, each body is required to study and include each rule depending on the institution’s AML plan regarding transaction perils.

FinCEN noted that digital currencies, as ‘convertible virtual currencies’ (CVCs), became widely used for online fraudulent transactions. It went further to list most of the CVC employed by fraudsters, asserting that it is highly used for purchasing unlawful assets. According to FinCEN, fraudsters in North Korea have extorted CVCs that are equivalent to over $100,000,000 since two years ago via online fraudulent activities, and such stolen wealth was used to finance war ammunition.

The announcement is in line with the latest statement made last month by Brian Nelson during a Senate hearing. He disclosed that he will fight for the enforcement of the last year’s AML Act.

The high interest of FinCEN on the cryptocurrency market comes few months after the current U.S. president froze the law to regulate cryptocurrency on wallets that are self-hosted. The proposal was initiated last year, to demand financial records from banks and financial exchanges, and confirm the identity of those that operate cryptocurrency wallet businesses.


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