It is expected that the upcoming G20 summit will focus on regulating crypto.This is due to the money laundering and the financing of terrorismcryptocurrencies.
The last G20 summit under the chairmanship of Indonesiawill take place on 15 November.Later, India will assume the presidency of the future G20 summits by a year from December 2022.
Ahead of the G20 summit, India's Finance Minister Nirmala Sitharaman 've shared her thoughts on crypto regulation. Last Tuesday, addressing the Indian Council for Research in International Economic Relations ( ICRIER ), she quoted that :
“We have not presented any plan to regulate digital assets. The regulatory agenda of criptomonedas will be presented at the meeting of the G20”.
Illegal activities financed cryptocurrencies
Svetlana Martynova, high official of the un, believes that the prevalence of crypto financing of terrorist activities may have quadrupled in the last few years.She estimates that 20% of the terrorist attacks have been crypto-funded.
In addition, according to a report from Chainalysis, the illicit entities received close to $10 billion this year.While, in2021, it was a record, with illicit entities receiving more than15 billion dollars.
India to Prioritize Crypto Regulation at G20 Summit
“You don't know where it leads you the way.What is the funding of the drug?What is the financing of terrorism or is it only a game?Then that regulation may not be successful if one country does it.We have not yet devised any plan.Then, we need to have all the G20 members on board to see which is the best way to do it”, according toNirmala Sitharaman.
India has maintained a strict attitude against cryptocurrencies.Therefore, as a host, it is more likely that mention thediscussion on the regulation of crypto at the summit.
The FATF is in charge of regulating crypto
The Financial Action task force <strong>(FATF, for its acronym in English)</strong> is ready to strengthen your battle against money laundering and the financing of terrorism.
They are preparing to perform annual checks to <strong>ensure that countries implement the standards against money laundering </strong>and the financing of terrorism in the providers criptomonedas operating in their jurisdiction, <a>said to </a>Al Jazeera, two sources with knowledge of the matter.
Countries that do not follow AML (anti-money laundering) guidelines could be added to the “grey list”. Syria, Uganda and Barbados are part of the list. The FATF increases sti monitoring of the countries that are part of the gray list.
In addition, the FATF added to the black list to the countries that continue to fail to cooperate in the treatment of ALD. Iran is part of the black list. Are subject to economic sanctions and other financial constraints on the part of the FATF.
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