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FATF improves methods of opposing the terrorism financing

02 July 2018 17:15, UTC

The Financial Action Task Force on Money Laundering has published a report on its meeting which happened last week from June 27 to June 29. Aside from other topics raised, there were talks on cryptocurrency and its use by terrorist groups.

20-06-2018 00:00:00  |   Regulation

The process of comprehension of the sphere is still ongoing, tells the official statement. The existence of the review of different regulatory approaches mentioned by the Russian high-ranking official has been confirmed: in the report, it is called a stocktake exercise. It has been made to improve consistency of various methods used by the member states to combat terrorism financing.

“The FATF agreed to initiate a project on investigative best practices related to virtual currencies/crypto-assets to assist law enforcement in the light of the growing risks,” the announcement tells.

Another meeting will take place in September, and as far as one can see, there were no breakthrough statements or decisions taken this time. Meanwhile, the non-crypto decision of FATF to include Pakistan in the grey list which has been taken at the same meeting has been shared and discussed in the media much more widely.

The FATF member states include the United States, China, the Russian Federation, South Korea, Turkey and Japan - and the approach of these countries towards digital currency regulation varies greatly. Some of them can afford further tightening of restrictions without looking at the public opinion while others cannot.