Money laundering through the cryptocurrency? Please, read the laws first! – Corner of cryptocurrencies.


Any society needs laws that prevent financial crimes. But there is a problem: these laws sometimes have consequences for citizens who respect the law. Regardless of your beliefs, knowing and understanding the facts is essential, since ignorance is not an excuse.

This problem goes back decades. An article in The New York Times of 1989 estimated that $ 100 billion in revenues from cocaine sales in the United States only ended up in the hands of a violent drug cartel in Colombia. The advent of electronic transfers was the culprit, with the warning of a politician: "The bankers act unconsciously, randomly and lazily in complicity by not doing enough."

At the end of 2012, HSBC was in hot water and charged a fine of almost $ 2 billion because it had failed to prevent criminals from using its infrastructure. Its division in Mexico had inadequate money laundering controls, with a report from the US Senate committee accusing it of being reluctant to close suspicious accounts. The report also concluded that it had circumvented the strict rules for doing business with Iran, North Korea and Burma, which the United States defines as "dishonest states." It was found that two of HSBC's divisions were altering the details of the transaction to eliminate references to a prohibited. nation. In addition to this, it was stated that HSBC had links with organizations that financed terrorism.

On November 28, 2017, the Committee of the Judiciary of the US Senate. UU He held a hearing on bill S.1241: Modernization of AML laws to combat money laundering and terrorist financing.

Laws against money laundering in the US UU They were originally created to prevent cocaine barons from legalizing their money. S.1241 intends to modernize the law, which will provide law enforcement agencies with more tools for processing and closing legal loopholes. S.1241 also adds section 13 on cryptocurrencies, Bill S.1241 would amend the definition of "financial institution" in the United States Code to include "an issuer, redeemer or cashier of prepaid access devices, digital currency or any digital exchanger or digital coin glass. " This could have alarming consequences for users of cryptocurrencies both in the United States and abroad.

That is, the law increases the punishment period from 5 to 10 years for people who smuggle more than 10 thousand dollars in the United States and abroad; clarifies the rules for moving money to and from the United States for tax evasion; changes the status of "digital currencies" and defines it as a "financial instrument" (section 13).

In Russia, the interest in another person's wealth is not as stable as in the West. But there are also laws. It is committed to the fight for the Federal Financial Monitoring Service, which complies with the principles of the FATF World Organization. The main law of the country: "Against the legalization (laundering) of criminal resources and the financing of terrorism".

How global is the problem of money laundering?

The senators in a hearing in the Congress of the EE. UU They provided convincing statistics on the ineffectiveness of existing anti-money laundering laws in the United States and around the world. 99.99% of illegal money laundering ignores the investigation.

The International Monetary Fund estimates that money laundering is about 2 to 5% of world GDP each year, or about 1.5 to 3.7 trillion dollars in 2015: almost the size of the US federal budget. UU Similarly, the United Nations Office on Drugs and Crime conducted a study to determine the extent of the illicit funds traffic. According to the Office, revenues from criminal activities in 2009 represented 3.6% of world GDP, approximately 2.7 trillion US dollars.

The World Bank and the IMF believe that 2.17 to 3.61 trillion dollars are laundered each year. Criminals are ready to try new methods of money laundering and are among the first users of new technologies. Because of this, anti-money laundering laws must evolve.

When it comes to money laundering, the implementation of KYC for ICO is critical. Its objective is to minimize the number of criminal acts and guarantee the security of chip sales. Figuratively speaking, it is a measure of protection for ICO projects and their sponsors, which allows them to conduct their business transparently. The stakes are high, and what everyone really needs is confidence.

KYCBench was created to offer an exceptional KYC platform, which increases international AML and legal compliance with the potential to accelerate the registration process without increasing costs or reducing transparency for any blockchain solution.

KYCBench is helping its clients with their AML and KYC compliance needs. The main objective is to reduce the risk of fraud and reduce compliance costs through the use of AML surveillance list identification and surveillance technology with the highest security standards and the same integrated automation technologies used by the main financial institutions and financial technology companies.

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