FATF insists on uniform rules for regulating cryptocurrencies

The Paris-based global anti-money laundering organization believes that the time has come to tighten regulation of crypto assets and come to a unified global system of control over digital assets.

The Financial Action Task Force (FATF) has laid out requirements for jurisdictions around the world, saying they will have to license and regulate their cryptocurrency platforms under the same rules.

 The official statement notes that while digital assets have clear potential to improve financial infrastructure, they pose the risk of financing criminal and terrorist activities. Their anonymous nature is ideal for laundering illegal proceeds or financing criminal activities. Therefore, the FATF has been actively monitoring digital market risks since 2015. 

However, today, given the widespread use of cryptocurrencies around the world and the lack of a uniform approach to their regulation, there is an urgent need for all countries to take coordinated measures to prevent their use for criminal purposes.

FATF believes that existing crypto exchanges, wallet providers and organizations involved in ICOs should be regulated equally in all jurisdictions.

To bring controls to a common denominator, the FATF plans to release a new set rules by June of next year. 

The organization clearly separates digital assets from fiat, but will be based on the existing anti-money laundering (AML) rules in force for fiat currency.

Considering the current situation with crypto assets, FATF is confident that the additional instructions on standards issued to it will help countries develop a unified approach to the cryptocurrency market and strictly adhere to the new rules in order not to end up on the “black list”.

 Today in the FATF has 36 member countries including Russia, China, Australia, France, Germany, Brazil, Canada, UK and USA. The organization expects all its members to strictly follow the new rules.