Britain’s Financial Conduct Authority (FCA) now monitors anti-money laundering (AML) and counter terrorist financing (CTF) for companies carrying out cryptocurrency-related activities. According to an official announcement published on Jan. 10, FCA will supervise whether United Kingdom-registered businesses engaged in crypto asset-related operations are compliant with relevant regulations and requirements. List of requirements to crypto businesses Further in the announcement, FCA set forth a list of requirements for cryptocurrency-related businesses, which includes the identification and assessment of risks in regards to AML and CFT, development of policies and controls to eliminate risks associated with AML and CFT, conduction of customer due …

The right to privacy is a fundamental prerequisite for peace of mind and security. The idea that only criminals have something to hide is strange. Contrarily, privacy is sought by almost everyone. Yet, it still gets stigmatized as suspicious — reserved solely for criminals or deviants. Similarly sharing this unjust scrutiny are cryptocurrencies, which are — rather ironically — branded as a tool for felons, based largely on their anonymous hallmarks. However, no cryptocurrency is as disparaged for this discreet quality more than the privacy coin. But just what are privacy coins used for? How has crypto criminality changed in …

Disappointment isn’t always a bad thing. It can be a spur, motivating one to work harder to meet expectations and goals. It is in this spirit that Cointelegraph informally surveyed members of the crypto community about this past year’s unfulfilled industry promises. Here are some of 2019’s biggest disappointments: Adoption missing? Where are the giant blockchain or crypto projects — enterprises that seize the imagination, rivet the public’s attention, and quiet the crypto skeptics? As Nouriel Roubini noted last year, “[Blockchain] still has only one application: cryptocurrencies.” Many in the industry are still waiting. As Lanre Sarumi, CEO of crypto …

Greece’s top administrative court has suspended a decision to extradite Alexander Vinnik, a Russian national suspected of laundering of billions of dollars through a cryptocurrency exchange. According to Reuters on Dec. 23, Vinnik’s lawyer said that the decision to extradite is suspended until the court hears an appeal, the date of which is still pending. As Cointelegraph reported, the Greek Ministry of Justice, Transparency and Human Rights had decided to extradite Vinnik to France earlier this month. At the time, the Russian Embassy expressed its regret that the Greek government “ignored” Russia’s request to extradite Vinnik to the country of …

Alexander Vinnik, the alleged former operator of now-defunct crypto exchange BTC-e, will be extradited to France, according to a new decision from Greece. Following years of disagreement on what jurisdiction should care about the alleged Bitcoin (BTC) laundering suspect, the Ministry of Justice, Transparency and Human Rights has reportedly decided to finally extradite the Russian citizen to France. The news was reported by the Russian Embassy in Greece on Twitter on Dec. 20. Russian Embassy expresses regret over Greece “ignoring” requests to bring Vinnik to the country of his citizenship Noting that the decision was delivered by the Minister for …

The deadline is rapidly approaching. 5AMLD — the Fifth Anti-Money Laundering Directive — is a piece of legislation that brings fiat-to-crypto exchanges and custodial wallets across the European Union under a new first-of-its-kind regulatory framework. Exchanges must achieve compliance with the rules by January 10, 2020. Time is ticking away, causing some exchanges to scramble, while others stand ready to roll out compliance procedures. David Carlisle knows a thing or two about crypto and regulations. As former United States Treasury Anti-Money Laundering (AML) specialist and the current Head of Community at the blockchain analytics provider Elliptic, Carlisle has inside knowledge …

Blockchain intelligence firm CipherTrace has claimed that large banks may be processing up to $2 billion in undetected cryptocurrency-related transfers each year. In a press release shared with Cointelegraph on Dec. 16, CipherTrace claims that its research unit has found that every one of the United States’ top 10 commercial banks have unregistered cryptocurrency businesses using their payments networks to process funds. These unregistered cryptocurrency money service businesses (MSBs) include entities such as crypto exchanges, according to the research. Known unknowns While both the U.S. Bank Secrecy Act and Financial Action Task Force (FATF) funds Travel Rules require banks to …

After BottlePay’s shutdown announcement last week, two more European cryptocurrency firms have shut down because of the upcoming Anti-Money Laundering (AML) rules in the European Union. Online crypto gaming platform ChopCoin and mining pool Simplecoin both announced that they are shutting down in under a month in a notice on their website. Both firms cite the EU’s upcoming Anti-Money Laundering Directive that would require the firms to adopt Know Your Client (KYC) measures as the reason for shutting down. Stringent reporting requirements Simplecoin explains that the EU’s proposed directive will subject its service to a wide range of AML and …

The Monero Compliance Workgroup has stated that the Monero (XMR) network is not subject to U.S. Financial Crimes and Enforcement Network (FinCEN) guidelines regarding the Funds Travel Rule, in a Dec. 5 blog post. What is the Funds Travel Rule? The Funds Travel Rule requires financial institutions who are sending and/or receiving funds to store and transmit certain information about the transfer if it is valued at over $3,000 or equivalent amount. However, in its May 2019 guidelines, FinCEN states that: “If a given transmission protocol is unable to accommodate such information, the obligated person may provide such information in …

New York-based blockchain analytics firm Chainalysis is set to provide crypto exchange Bitfinex with its Anti-Money Laundering compliance solution. In a press release published on Dec. 12, both firms took pains to stress that the solution will be privacy-safe, but help Bitfinex to crack down on bad actors using its platform. Enhanced monitoring Chainalysis is one of the highest-profile firms in the blockchain intelligence industry, providing solutions — such as its proprietary KYT (Know Your Transaction) tool — that enable firms, governments and law enforcement agencies to monitor blockchain transactions and track suspected illicit activities. Earlier this year, the firm …

The Swiss Financial Market Supervisory Authority (FINMA) warned the country that Switzerland is particularly prone to money laundering risks for reasons including the use of blockchain technology. In its first-ever yearly risk monitor report — published by FINMA on Dec. 10 — the regulator warns that blockchain and crypto assets exacerbate the country’s already existing money laundering risks. The document reads: “In addition to [...] traditional money-laundering risks, the financial industry also faces new risks in the area of blockchain technology and the cryptoassets that are attracting growing interest from clients.” Money laundering slows crypto adoption The regulator admits that, …

The director of the Financial Crimes Enforcement Network (FinCEN) says the cryptocurrency industry has begun to fall in line with the agency’s regulations on money transmission services. In a speech delivered at the American Bankers Association/American Bar Association Financial Crimes Enforcement Conference on Dec. 10, Kenneth A. Blanco claimed that FinCEN’s May 2019 guidance was having a marked and positive impact on its oversight of the crypto space. Crypto reporting has significantly increased since May In May, FinCEN published guidance for crypto businesses that clarified how its regulations relating to money services businesses (MSBs) apply to certain business models in …