G20 Reaffirms It Will Apply Expected Tough New FATF Rules on Crypto

[Magician]

The G20 group of nations has reaffirmed it will align with standards for anti-money laundering (AML) and countering the funding of terrorism (CTF) set to be finalized by the Financial Action Task Force (FATF) this month.

Finance ministers and central bank governors from the G20, who met in Fukoka, Japan, over the weekend, made the commitment to applying the rules in a communique published on the website of the Japanese Ministry of Finance on Sunday.

The FATF standards are expected to set tough operating procedures for crypto exchanges, going beyond the basic “know your customer” (KYC) rules that most major exchanges now abide by. In addition to verifying and keeping records of their users’ identities, exchanges and other service providers would have to pass customer information to each other when transferring funds, just as banks are required to do – a procedure known in the U.S. as the “travel rule.”

Blockchain analysis firm Chainalysis recently argued that the expected changes, as set out in a draft document in February, would be unrealistic and harmful for the crypto industry.

The G20, however considers the threat from crypto assets low, and recognizes their potential. The group said in the communique:

“Technological innovations, including those underlying crypto-assets, can deliver significant benefits to the financial system and the broader economy. While crypto-assets do not pose a threat to global financial stability at this point, we remain vigilant to risks, including those related to consumer and investor protection, anti-money laundering (AML) and countering the financing of terrorism (CFT). “

It’s also seeking possible additional measures, calling for the Financial Stability Board (FSB) and “other standard setting bodies to monitor risks and consider work on additional multilateral responses as needed.” The G20 welcomed the FSB’s directory of crypto-asset regulators, published in April, and its report on ongoing work, regulatory approaches and potential “gaps” in crypto-asset regulation.

Finally, addressing the issue of hacks in the crypto space, the G20 said:

“We also continue to step up efforts to enhance cyber resilience, and welcome progress on the FSB’s initiative to identify effective practices for response to and recovery from cyber incidents.”

Source

[Alcor]

The FATF rules call cryptocurrency users to pass verification to anyone who sends or receives funds in the cryptocurrency worth more than one thousand dollars. Although this amount is not very large, in my opinion, the establishment of any general rules already will have a positive effect on participants in the cryptocurrency market. We are already tired of the unregulated ICO, whose teams set their own rules in their own way and require KYC checks to pass even when their remuneration is a few dollars.

[Betim]

It seems that the representatives of the G20 are more positive about cryptocurrency than before and it looks like they really are going to introduce cryptocurrency into the legal field of the countries of the G20 participants. Perhaps the recent increase in the price of Bitcoin is associated with this event, although there is as yet no specific information regarding Bitcoin and cryptocurrencies.

[Fenix]

In general, this is very good news for participants in the cryptocurrency market. This market has long been in need of a single definite regulation of the order of circulation of cryptocurrency in the territory of various states. Of course, within one thousand dollars for anonymous transactions, this is not very much, but better than the absence of any regulation, with the result that each market participant sets its own rules, which generally generate chaos and anarchy. This is especially true of the OCO, where teams sometimes just mock the bounty hunter. Establishing common rules will help restore order and stop abuses by the ICO teams.

[Senin]

The proposed regulation of cryptocurrency ha is in fact not so tough. Even if the maximum amount of one thousand dollars is set, above which it will be necessary to pass verification when a transaction is made, this amount is not so small. Within a thousand dollars, it will be possible to make many transactions anonymously and this is, in principle, not bad.

[Meysa123]

This is very good, because I really know that this will be very beneficial for many people, and in this way will be able to develop and make cryptocurrency progress.

[kaleemmalik]

According  to my views it  really a great news for us
It really beneficial  and profitable  for us.. i am damn sure...