Japan to Enforce Crypto Anti-Money Laundering Rules in June
BITmarkets Team
May 24, 2023
Lawmakers in Japan have decided to enforce stricter Anti-money laundering (AML) measures on cryptocurrencies transactions starting from the first of June.
According to local media outlet Kyodo News, the Japanese parliament officially went forward with rolling out tougher AML rules starting next month, which aims to synchronize Japan’s legal framework on crypto with global regulations.
Reports on the matter reveal that a vital element of the new measures would be the enforcement of the “Travel Rule” which keeps track of criminal proceeds.
This rule requires any financial institution processing a crypto transfer more than $3,000 to provide customer information to the recipient exchange or institution. The data should include the name and address of both the sender and the recipient, alongside other account information.
Japan has been a long advocate for adopting digital currencies, being one of the early nations which legalized cryptocurrencies as property. Yet, crypto regulations in the Asian nation are some of the most stringent ones on a global scale.
Sources:
https://cointelegraph.com/news/japan-crypto-aml-measures-start-in-june
https://blockworks.co/news/japan-crypto-anti-money-laundering-rules
