Regulatory Alerts2018-05-23
Added · Updated
Emerging Financial Technologies, Money Laundering and Terrorist Financing: A Typology of Virtual Currencies
The Egmont Group, produced by FINTRAC, publishes a typology report detailing money laundering and terrorist financing risks associated with virtual currencies for Financial Intelligence Units. The document identifies key operational entities including virtual currency ATMs, exchanges, wallets, and mixers, noting that Bitcoin remains the most prevalent currency for illicit activities. It highlights that unlicensed exchanges and ATMs often operate without adequate regulation or KYC requirements, allowing criminals to circumvent traditional financial scrutiny. The report provides specific indicators and case studies to help FIUs recognize red flags and improve information sharing with law enforcement.