The Financial Action Task Force—a global anti-money-laundering watchdog—said many countries have not implemented its recommended standards on virtual assets, allowing criminals to exploit gaps in crypto regulation.

Crypto Assessment: The FATF last year released a roadmap to strengthen implementation of its standards on virtual assets. Following its latest Plenary session in Paris last week, the FATF said it will publish an assessment of countries with the highest crypto activity and use the report to support efforts to regulate and supervise crypto service providers.

Hsu Remarks: The statement came a day after Acting Comptroller of the Currency Michael Hsu said crypto industry resistance and jurisdictions competing for crypto business have held up progress on consolidated supervision of virtual assets. Hsu was addressing the Financial Stability Board, which has issued ICBA-supported recommendations for crypto oversight based on the principle of “same activity, same risk, same regulation.”

ICBA View: ICBA supports global efforts to advance international cryptoasset regulation, including the FSB’s framework to support consistent regulatory and supervisory standards and baseline policy recommendations from the International Organization of Securities Commissions.

More: In its statement following the Plenary, the FATF also:

• Issued new risk-based guidance on beneficial ownership targeting stakeholders involved in trusts or similar legal arrangements, concluding the FATF’s work on beneficial ownership transparency.

• Said it will propose revisions for its policy recommendations on wire transfers to reflect wider adoption of the ISO 20022 messaging standard promoting cross-border payments.