To combat illegal activity and “regulatory arbitrage,” a Switzerland-based think tank is urging greater international cooperation on cryptocurrency regulation.
On Monday, the Basel Institute for Governance and the International Academy of Financial Crime Prosecutors release A document calling for further coordinated action against illicit crypto markets. Proposed solutions include strengthening cooperation between jurisdictions and developing global standards for cryptocurrency regulation.
According to the paper, investigators using cryptocurrencies should invest in learning methods and techniques that are compatible with evolving criminal organization techniques. Additionally, it recommends that judicial authorities come up with new ways to prosecute virtual asset-based money laundering.
Cryptocurrency regulation has been a contentious issue in the industry, with some arguing that it stifles innovation, while others see it as necessary to protect investors and fight crime.
It is recommended to follow the comments Him Das, acting director of the U.S. Financial Crimes Enforcement Network (FinCEN), said in early April that the agency’s existing capabilities are not suitable for the type of cryptocurrency threat we see.
When crypto enthusiasts displayed extreme ideological hostility to the idea of securities regulation designed to protect them from these outcomes, they were wiped out, and it’s really impossible to feel sorry for them.
— Michael Ty Sweeney (@mtsw) May 11, 2022
In the UK, experts tip Financial regulators are using more than 20-year-old laws to combat cryptocurrency money laundering, as the government pledges to strengthen protections for the financial system through the recently introduced Economic Crimes Act.
According to Cointelegraph, the G7 governors and finance ministers are reportedly Ready to discuss cryptocurrency regulation. Delegates from the US, Canada, Japan, Germany, France, Italy and the UK are likely to discuss issues related to the regulatory framework for cryptocurrencies at the meetings in Bonn and Königswinter, Germany.The U.S. Securities and Exchange Commission (SEC) recently revealed that it will Double the number of people Responsible for protecting investors in the cryptocurrency market.