The Financial Action Task Force is launching a targeted review of jurisdictions with significant cryptocurrency activity, aiming to address gaps in how governments apply global anti-money laundering standards.
The intergovernmental body announced Friday that the review will focus primarily on jurisdictions with "materially important" virtual asset service provider activity, taking their existing assessment status into account. The FATF did not name the jurisdictions under review or specify how many would be included. Cointelegraph contacted the watchdog for further details but had not received a response by publication.
Assessment and reporting timeline
The FATF said its regular assessments and follow-up procedures will remain the main tools for evaluating compliance. Initial findings from the targeted review are due in June 2027, with further results expected in October 2027.
The review will be followed by monitoring and faster reporting to track progress in addressing deficiencies.
Travel Rule gaps
The announcement follows a July FATF report that found 83% of surveyed jurisdictions had adopted crypto Travel Rule legislation, while significant enforcement gaps remained.
According to that report, 55 of the 91 jurisdictions with Travel Rule laws had yet to take supervisory or enforcement action over compliance. Authorities also struggled to identify unlicensed crypto businesses and to oversee providers serving local customers from overseas.
The Travel Rule requires crypto service providers to share information about the sender and recipient of transfers.
