The Financial Action Task Force ("FATF") updated its "Virtual Assets and Virtual Asset Service Providers" guidance for national authorities and private entities on money laundering and terrorist financing concerns arising from virtual asset activities.
In the update, which incorporates and supersedes the organization's 2019 guidance, the FATF:
- expanded the definitions of Virtual Asset ("VA") and Virtual Asset Service Provider ("VASP");
- provided guidance on stablecoins;
- identified additional tools that are useful in addressing money laundering risks for peer-to-peer transactions;
- revised VASP licensing and registration guidance;
- updated guidance on the "travel rule," including the transmittal of originator and beneficiary information from one financial institution to another; and
- included "Principles of Information-Sharing and Co-operation Amongst VASP Supervisors."
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