G20 leaders to agree on crypto AML/CFT regulations in June: Report

G20 member countries are going to discuss international cryptocurrency Anti-Money Laundering (AML) and Countering Financing of Terrorism (CFT) regulation at the Finance Minister and Central Bank Governors meeting on June 8 and 9 in Fukuoka, Japan, Cointelegraph reported referring to a report from Kyodo.

The finance ministers and central bank governors of the member countries are expected to reach an agreement on the new regulations at the meeting.

According to the Japanese news outlet, the key focus of the new regulations would be ensuring transparent flow of assets and is expected to put in place a “stricter identification of individuals at the time of transactions.”

One of the priority areas for G20 finance track in 2019 is the response to structural changes caused by innovation and globalization, which will focus on the opportunities and challenges brought about by financial innovation, among other things.

“In the financial sector as well, the waves of innovation are surging and the world is keeping a close watch on future developments, lending great significance to Fukuoka’s hosting of the Finance Ministers and Central Bank Governors Meeting. My fellow citizens and I are determined to make this meeting a success,” said Soichiro Takashima, Mayor of Fukuoka, said.

In December 2019, the G20 Leaders’ Summit ended with a joint declaration on “Building consensus for fair and sustainable development.” The leaders stated:

“We will regulate crypto-assets for anti-money laundering and countering the financing of terrorism in line with FATF standards and we will consider other responses as needed.”

The countries had also agreed to work together to seek a consensus-based solution to address the impacts of the digitalization of the economy on the international tax system. They plan to provide an update in this year and a final report by 2020.

Previously in July, the Financial Stability Board (FSB), an international body monitoring the global financial system, published a framework to monitor the implications of crypto-assets on financial stability.