TechFlow news, at the V20 summit held in Paris, the Financial Action Task Force (FATF) stated that a new approach is needed when regulating cryptocurrency technologies.
FATF recommends that local regulators in G20 countries and others attempt to apply so-called "Travel Rule" requirements to digital assets, requiring intermediaries (virtual asset service providers, generally referring to cryptocurrency exchanges) to share personally identifiable information (PII) related to crypto transactions.
Cryptocurrency regulation expert Sian Jones said that FATF only needs to look at the rapidly evolving decentralized finance (DeFi) world to see how outdated the traditional transaction monitoring system created by SWIFT half a century ago has become.
The main topics of this V20 summit reportedly focused on the regulation of stablecoins and DeFi, with Sian Jones being one of the key drivers behind much of the industry's anti-money laundering (AML) standards work to date.
