StableCoins now account for most illegal activity on the chain, according to the Task Force for Financial Action Task Force (Fatf).
Massage uptake of stableecoins will reinforce illegal financial risks, especially when handled unevenly across the difference jurisdictions, FATF said in a new report on money laundering and contradictions financing (AML/CFT).
FATF estimated that there were approx. $ 51 billion in illegal activity on chain of fraud and fraud in 2024.
Stableecoins, tokens, associated with the value of a traditional financial asset, such as a Fiat currency, have enjoyed some headwinds in recent months thanks to progress towards regulating the sector in the United States, among other places.
The total market capital for all stableecoins surpassed $ 250 billion for the first time earlier this month.
FATF highlighted the importance of “travel government” compliance with limiting money laundering and terrorist financing. The travel rule is a set of requirements for sharing information about the author and the recipient of cross -border payments.
Note that 99 jurisdictions have passed legislation implementing the travel rule or are in the process of doing so, FATF noted that they nevertheless experience difficulties in identifying natural or legal persons performing virtual asset provider (VASP) Activities.
Crypto AML specialist Notabene said it expected that almost all cryptocurrency -companies would be in line with the travel rule in a report published in April. Notabene had examined 91 VASPs, where 90% said they expect to be fully consistent with my mid -year and everyone said they expected to be so by the end of the year.
Read more: Fewer than 30% of jurisdictions globally have begun to regulate crypto: Fatf -chefor
