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Guyfromfuture

AML in cryptocurrency pump?

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What do you think about AML in cryptocurrencies?

Cryptocurrencies can increase their functionality by introducing AML. Various entities using cryptocurrencies can gain a lot and grow thanks to the introduction of AML (e.g. exchanges, markets, payment processors). Coinfirm creates these opportunities.

Ripple, the largest single owner of the XRP cryptocurrency, has signed a deal with regulation technology company Coinfirm, to shine new light on how the third-largest cryptocurrency is being used. Who next?

https://www.forbes.com/sites/michaeldelcastillo/2019/06/26/ripple-deal-could-make-xrp-cryptocurrency-compliant-with-fatf-anti-money-laundering-regulations/#2a8b5dda3aab

AML in cryptocurrencies:

https://www.youtube.com/watch?v=WqNMiR-bgZE&feature=youtu.be

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Non-privacy cryptos (outside of POW) are generally in line with AML rules just due to the fact that you have an immutable ledger with a history that lasts forever. As for the AML incorporation, as regulations become clear and certain cryptos, of which I believe XRP is in this bucket, will be designated as currencies and will be required to run under strict AML/KYC rules moving forward.

 

It's the wild west out there now, but not for long.

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I'm going to add some layman terms for AML. It is easier to transfer money from one person to another across borders with cryptocurrencies. That said the ledger itself which has a history makes it easier to track and or trace where the transaction took place and from point A to point B, so the data that exists makes it traceable, except for privacy coins. Also, if you look at current money laundering practice, at least as far as those that have been released into the public, exist eventually with in brick and mortar businesses. The reason for night clubs being a hot spot for such uses is the fact that sales of drinks and food can be inflated, taxes paid and money laundered respectively. It is one of the reasons for tourism safety in eastern Mexico. A lot of cash exchanges hands and a lot of opportunity to clean cash. Anyway, I think that if you compare the technicals between current exchanges models and that of digital assets will succumb to the same problems. Crypto maybe safer than the current model. Right now the infrastructure for AML/KYC might not be anywhere close to where it can be simply due to the maturity of the asset. In the end no matter what you throw at criminal activities someone will find some other way to get around it.

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