Latest news with #illicitfinance
Yahoo
27-06-2025
- Business
- Yahoo
Most Illicit On-Chain Activity Now Involves Stablecoins: FATF
Stablecoins now account for most illicit on-chain activity, according to the Financial Action Task Force (FATF). Mass adoption of stablecoins will amplify illicit finance risks, particularly when it is handled unevenly across difference jurisdictions, the FATF said in a new report about anti-money laundering and counter-terrorist financing (AML/CFT). The FATF estimated there was approximately $51 billion in illicit on-chain activity relating to fraud and scams in 2024. Stablecoins, tokens pegged to the value of a traditional financial asset such as a fiat currency, have been enjoying some tailwinds in recent months thanks to progress toward regulation of the sector in the U.S., amongst other places. The total market cap of all stablecoins surpassed $250 billion for the first time earlier this month. The FATF highlighted the importance of "travel rule" compliance in curbing money laundering and terrorist financing. The travel rule is a set of requirements on the sharing of information about the originator and beneficiary of cross-border payments. Noting that 99 jurisdictions have passed legislation implementing the travel rule or are in the process of doing so, the FATF noted that they nevertheless experience difficulties in identifying natural or legal persons that conduct virtual asset service provider (VASP) activities. Crypto AML specialist Notabene said it expected almost all cryptocurrency firms to be compliant with the travel rule in a report published in April. Notabene had surveyed 91 VASPs, with 90% saying they expect to be fully compliant my midyear and all saying they expected to be so by the end of the in to access your portfolio
Zawya
26-06-2025
- Business
- Zawya
Global financial crime watchdog calls for action on crypto risks
The Financial Action Task Force (FATF), a global financial crime watchdog, on Thursday called on countries to take stronger action to combat illicit finance in crypto assets, warning that gaps in regulation could have global repercussions. The Paris-based watchdog said that while progress has been made since 2024 in regulating virtual assets, many jurisdictions still have work to do to combat risks. As of April 2025, only 40 of 138 jurisdictions assessed were "largely compliant" with FATF's crypto standards, up from 32 a year earlier. "With virtual assets inherently borderless, regulatory failures in one jurisdiction can have global consequences," FATF said in a statement. Illicit crypto wallet addresses may have received up to $51 billion in 2024, according to blockchain analytics firm Chainalysis. FATF said that countries continue to face difficulties in identifying who is behind virtual asset transactions. The report is the latest sign of rising concern among financial authorities about crypto-related risks to the financial system. In April, the EU's securities watchdog warned that the expanding crypto sector could pose risks to broader financial stability, especially as links with traditional markets deepen. FATF also raised concerns about the use of stablecoins, a type of cryptocurrency pegged to fiat currencies, by "various illicit actors", including North Korea, terrorist financiers and drug traffickers. It said most illicit crypto activity now involves stablecoins. The FBI has said that North Korea was responsible for the theft of approximately $1.5 billion worth of virtual assets from crypto exchange ByBit in February - the largest ever crypto theft. North Korea routinely denies involvement in cyber hacking or crypto heists. (Reporting by Elizabeth Howcroft, Editing by Louise Heavens)
CNA
26-06-2025
- Business
- CNA
Global financial crime watchdog calls for action on crypto risks
PARIS :The Financial Action Task Force (FATF), a global financial crime watchdog, on Thursday called on countries to take stronger action to combat illicit finance in crypto assets, warning that gaps in regulation could have global repercussions. The Paris-based watchdog said that while progress has been made since 2024 in regulating virtual assets, many jurisdictions still have work to do to combat risks. As of April 2025, only 40 of 138 jurisdictions assessed were "largely compliant" with FATF's crypto standards, up from 32 a year earlier. "With virtual assets inherently borderless, regulatory failures in one jurisdiction can have global consequences," FATF said in a statement. Illicit crypto wallet addresses may have received up to $51 billion in 2024, according to blockchain analytics firm Chainalysis. FATF said that countries continue to face difficulties in identifying who is behind virtual asset transactions. The report is the latest sign of rising concern among financial authorities about crypto-related risks to the financial system. In April, the EU's securities watchdog warned that the expanding crypto sector could pose risks to broader financial stability, especially as links with traditional markets deepen. FATF also raised concerns about the use of stablecoins, a type of cryptocurrency pegged to fiat currencies, by "various illicit actors", including North Korea, terrorist financiers and drug traffickers. It said most illicit crypto activity now involves stablecoins. The FBI has said that North Korea was responsible for the theft of approximately $1.5 billion worth of virtual assets from crypto exchange ByBit in February - the largest ever crypto theft. North Korea routinely denies involvement in cyber hacking or crypto heists.
Reuters
26-06-2025
- Business
- Reuters
Global financial crime watchdog calls for action on crypto risks
PARIS, June 26 (Reuters) - The Financial Action Task Force (FATF), a global financial crime watchdog, on Thursday called on countries to take stronger action to combat illicit finance in crypto assets, warning that gaps in regulation could have global repercussions. The Paris-based watchdog said that while progress has been made since 2024 in regulating virtual assets, many jurisdictions still have work to do to combat risks. As of April 2025, only 40 of 138 jurisdictions assessed were "largely compliant" with FATF's crypto standards, up from 32 a year earlier. "With virtual assets inherently borderless, regulatory failures in one jurisdiction can have global consequences," FATF said in a statement. Illicit crypto wallet addresses may have received up to $51 billion in 2024, according to blockchain analytics firm Chainalysis. FATF said that countries continue to face difficulties in identifying who is behind virtual asset transactions. The report is the latest sign of rising concern among financial authorities about crypto-related risks to the financial system. In April, the EU's securities watchdog warned that the expanding crypto sector could pose risks to broader financial stability, especially as links with traditional markets deepen. FATF also raised concerns about the use of stablecoins, a type of cryptocurrency pegged to fiat currencies, by "various illicit actors", including North Korea, terrorist financiers and drug traffickers. It said most illicit crypto activity now involves stablecoins. The FBI has said that North Korea was responsible for the theft of approximately $1.5 billion worth of virtual assets from crypto exchange ByBit in February - the largest ever crypto theft. North Korea routinely denies involvement in cyber hacking or crypto heists.
