35 Countries Are About to Regulate Crypto Exchanges Like Banks

35 Countries Are About to Regulate Crypto Exchanges Like Banks

virtual currency

According to a recent report, the Financial Action Task Force has completed its requirements for the supervision and monitoring of virtual currency service providers. The FATF has reportedly required of all its 35 member countries to regulate crypto exchanges in the same way they regulate commercial banks.

The FATF is Set to Tighten its Standards

According to a publication from the largest financial regulator in South Korea, the Financial Services Commission,— FAFT, is set to tighten the standards for the supervision of cryptocurrency exchanges.

The publication states that:
“The FATF urged the financial authorities of the member states to regulate cryptocurrency exchanges in the same manner they regulate commercial banks.”

The FAFT claimed that these standards are important in order to avoid the use of virtual currencies for illegal transactions.

The Financial Action Task Force is an inter-governmental body which was established in 1989. Its duty is to set standards and enhance effective implementation of legal, operational, and regulatory measures in the fight against money laundering, terrorist financing and other related threats to the integrity of the international financial system.
Presently, there are 35 member countries, including Hong Kong, the Gulf Cooperation Council, and the European Commission.

The 35 member countries are:
Greece, Argentina, Brazil, Iceland, Germany, Austria, Finland, Australia, Belgium, Denmark, Canada, Israel, China, Japan, France, Greece, India, Luxembourg, Spain, Russian Federation, Norway, Italy, Republic of Korea, Netherlands, Mexico, Turkey, New Zealand, Singapore, Malaysia, South Africa, the U.K, the U.S, Portugal, Switzerland, Germany

Everything is Set and Ready

During the meeting, FAFT made it known that it has completed the detailed requirements for the implementation of effective regulation and supervision of crypto asset services providers and it is to be formally adopted as part of the FAFT standards in June.

The Financial Action Task Force stated that: “For the purposes of applying the FATF recommendations, countries should consider virtual assets as ‘property,’ ‘proceeds,’ ‘funds,’ ‘funds or other assets,’ or other ‘corresponding value.’”