Stablecoins Now Dominate Illicit On-Chain Activity – FATF Sounds the Alarm

The Financial Action Task Force (FATF) drops a bombshell: stablecoins have become the preferred tool for shady on-chain transactions. Move over, privacy coins—Tether and friends are the new darknet darlings.

Why the shift? Blame the 'stable' in stablecoins. Their peg to fiat makes them the perfect middleman for criminals who still think in dollars. That's right—even crooks can't quit the greenback entirely.

Regulators are scrambling. The very feature that made stablecoins palatable to mainstream finance—their price stability—now makes them irresistible to bad actors. Talk about unintended consequences.

Here's the kicker: while banks spend millions on compliance theater, decentralized stablecoins bypass the whole system with a few lines of code. The ultimate regulatory arbitrage—brought to you by 'innovation.'