The ups and downs of the crypto market are not only unpredictable but also inevitable.
While on one hand, the entire crypto market is expanding its boundaries enormously, on the other hand, traditional financial institutions and their deep-rooted ordeals find it increasingly difficult to cop up with the cryptocurrencies.
Perhaps this is why some bold statement was made by the U.S. Treasury Secretary Steven Mnuchin while addressing a plenary session of the G7 initiative aimed at combating money laundering and terrorism financing.
At the event, Steven quite clearly stated that :
the G7’s Financial Action Task Force (FATF) organization will never let crypto assets “become the equivalent of secret numbered accounts.”
While speaking about it, Steven was actually indicating to all those secretive bank accounts where the identity of the account holder is kept secret. Not just this but in these financial bodies a client is only identified by a code word.
PRE-REQUISITES THAT CRYPTO EXCHANGES MUST ENSURE
Keeping in mind the history of crypto crimes as well as its weak pillars of security as well as privacy, Steven came up with some imperative regulations for the crypto exchanges which says:
The FATF will ensure that the cryptocurrency exchanges as well as any other crypto-related businesses to implement bank-like anti-money laundering and Combating the Financing of Terrorism procedures
He firmly believes that these strict implementations of rules will undoubtedly minimize the potentiality of crypto firms to become enablers of unethical activities:
“By adopting the standards and guidelines agreed to this week, the FATF will make sure that virtual asset service providers do not operate in the dark shadows. This will enable the emerging FinTech sector to stay one step ahead of rogue regimes and sympathizers of illicit causes searching for avenues to raise and transfer funds without detection.”