Report: Financial Action Task Force to Prepare Binding Rules for Crypto Exchanges

The Financial Action Task Force (FATF), the global group that battles illegal tax avoidance and terrorism financing, will begin creating restricting rules for crypto trades in June, a Japanese authority familiar with the issue revealed to Reuters.

The new rules would be an upgrade to the non-restricting resolutions which were received by the FATF in June 2015. The FAFT will consider in the case of existing rules on anti-money laundering (AML) measures and announce suspicious trading activity are still suitable, and if that they can be applied to new trades. The intergovernmental association will also purportedly examine how to function with nations who have moved to boycott cryptocurrencies.

The authority expressed that Japanese authorities seek to become a pioneer in the matter and to promote the adoption of new restricting standards by 2019. The authority added that Japan’s government plans to collaborate with the US and European nations on the issue.

The FATF is situated in Paris and is made out of 37 distinctive member states. The intergovernmental association was established in 1989 at the command of the G7.

The ongoing move by the FATF takes after the ongoing release of a draft on new regulation for crypto trades and payment services by the Canadian government. The new principles plan to address a “number of deficiencies” that the FATF laid out in 2015, especially boosting the nation’s AML and wrongdoing financing anticipation measures.