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.
