Navigating AML Compliance for Cross-Jurisdictional Crypto Trades
We've been seeing a significant uptick in clients wanting to move larger sums through various crypto exchanges, often involving multiple jurisdictions. The challenge isn't just the initial KYC/KYB, but really tracking the source of funds and ultimate beneficial ownership when the trail involves several different platforms, some regulated, some not so much. My question for the group is, what are your firms finding to be the most effective strategies or tools for continuous AML monitoring on these complex, multi-hop crypto transactions, especially when trying to consolidate risk profiles across disparate data sources? It feels like we're constantly playing catch-up with the velocity and complexity of these flows.
This sounds incredibly complex. Are you finding that the unregluated platforms are creating the most headaches, or is it more about the sheer number of hops between different exchanges that makes tracking so difficult?