Based on FATF, Ukraine passes the Law on Money Laundering with Crypto Policy

Harsha Puvvala
Harsha puvvala is a writer for Thecoinrepublic. He is a bachelor of technology student at Jawaharlal Technological University Vizianagaram. He is interested in digital currencies especially blockchain, ethereum. He hopes to conduct research on these digital currencies for financial asset development.
fatf
 
  • The government of Ukraine has taken a step to regulate the crypto currency exchange in the country.
  • Ukrainian Government is trying to make a new way for the currency exchange in the country and to make a new leap in developing the economy of the country. 

The money laundering law passed by the Ukrainian government mainly handles the maintenance of virtual assets and the virtual asset service providers (VASP’S) to be maintained as per the FATF (Financial Action Task Force) guidelines.

As in recent days, the usage of virtual assets in the various money laundering crimes, Frauds and financing of terrorism made the government take this step.

Trade verification

The new law passed by the government intends to regulate the virtual assets exchange in a very secure manner. This law has also put some guidelines on the Virtual asset service providers to limit their trade.

For the transaction value, less than 30,000 or less, given the government tends to verify only the sender for the financial monitoring of the exchange. When the transaction value exceeds the prescribed value(according to the guidelines), the law will verify both the sender and Receiver for the monitoring.

The financial monitoring, in this case, meant to check the nature of the transaction, identities of both the sender and receiver and also the previous business relationships of both. This puts a threshold limit of the transaction for the Virtual asset service providers (VASP’s) in trading.

For the transactions of more than 40,000 hryvnias ($1,600), the service provider has to provide the details to the Authorities that his registration in jurisdiction does not comply with any anti-money laundering recommendations when traders are family members, foreigners and money transactions occur. 

Binance support for Crypto legislation in the country Also, the ministry of signed a memorandum of understanding with Binance for the development of virtual assets and currency exchange in the country.

This collaboration tries to implement the legalised currency exchange in virtual asset trade, which brings a positive growth in the country’s economy also to implement international trade. The collaboration mainly intend to implement blockchain tech and also to create new virtual assets in the country.

We Recomaned

Top Rated Trading Platforms

Top Rated Cryptocurrency Exchange

Partners