Thread by @shyftnetwork

#ICA published a report recently on managing #crypto regulatory and financial crimes compliance risks 📃

It consisted of expert opinions on the matter 😇

And one of them was Shyft's very own Malcolm Wright @Malcolm_1111

@Malcolm_1111 Interestingly, Malcolm had a lot to say about people who call #crypto a #ponzi scheme!

Those people, according to @Malcolm_1111 are oblivious to the "depth & transformational" capabilities of the changes that #cryptocurrencies have initiated

@Malcolm_1111 That is not to say that all is good within the #crypto space 

It, too, has its share of malicious actors 🚨 

However, crypto assets are leading us to a new era of finance by banking on technological advancement, believes @Malcolm_1111

@Malcolm_1111 We also need to commend the #crypto industry

After all, it has been around just for over a decade, despite being a key part of the global financial ecosystem today!

Banking, on the other hand, has existed for 2+ millennia

And modern banking has existed since the 17th century

@Malcolm_1111 And speaking of risks, malicious actors do have their eyes 👀 on the #crypto space

There's no denying it!

They are counting on #crypto to help them pull off money laundering, sanction evasion & more

@Malcolm_1111 Authorities aren't sitting ducks 🦆 either

For instance, OFAC sanctioned Tornado Cash in August 2022 for enabling North Korean hacking org Lazarus to launder hacked crypto assets

However, these crimes are no different from the ones committed in the traditional world

@Malcolm_1111 Malcolm puts it simply as the "classic case of old crimes, new technology"

There is also a matter of knowledge gap on how crucial #AML compliance is for VASPs!

#VASPs aren't taking the matter as seriously as they should

@Malcolm_1111 It's their cognitive bias!

#VASPs believe nothing bad will happen to them 

They are also oblivious to the sort of risks their solutions are prone to

Education is the key 🔑 here

Unfortunately, that's what is missing

@Malcolm_1111 As we said, #authorities aren't sitting ducks 

They have started taking matters into their own hands

And its FATF that is the driving force here 🏎

@Malcolm_1111 The global anti-money laundering watchdog extended its recommendations to crypto assets in 2019

Do you wanna know what else the #ICA has covered in its latest report?

The ICA report covers many such insights from experts!

Visit here: go.wilmingtonplc.com/ICAVirtualAsse…

@Malcolm_1111 Speaking of Travel Rule, #VASPs need Travel Rule solution to comply with it

So, which solution to choose? 🤔

Check out Veriscope - the only frictionless Travel Rule solution for users: shyft.network/veriscope 💡

And contact our BD team here: shyft.network/contact

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