Macro Report: FATF Travel Rule

Welcome to our Macro Report for FATF Travel Rule.

Welcome to our Macro Report for FATF Travel Rule.

Key Takeaways

• We have introduced the following:
  • Financial Action Task Force (FATF)
  • Society for Worldwide Interbank Financial Telecommunication (SWIFT)
  • AML / CFT Regulation
• We have gone through the origin of the Travel Rule:
  • Representative from the United States has been elected as the FATF President from 2018-2019, where he pushed forward US’s crypto regulation around the globe
  • Hence the Crypto Travel Rule shares many similarities with the Bank Secrecy Act (BSA) from the US
• Besides the Travel Rule, the FATF Recommendation also imposes other requirements for VASPs, including but not limited to:
  • Customer Due Diligence (CDD)
  • Licensing and Registration
• We have discussed several details of the Travel Rule:
  • Definition of Virtual Asset Service Providers (VASPs)
  • The need of a common messaging standard
  • The VASP Discovery Problem
  • Ideal principles for designing the Travel Rule’s solution
  • Various solutions in the market

Read the full PDF version of the FATF Travel Rule Report here.